A company should not couch its mission statement in terms of making a profit because a profit is more correctly an

A. objective and a result of what a company does.
B. obligation and a reason for what a company does.
C. outflow and a right of what a company does.
D. obligation and a responsibility for what a company does.
E. outlay and a rationale for what a company does.


Answer: A

Business

You might also like to view...

Users require a variety of information about the financial position and performance of a firm in order to make decisions. Users cannot wait until the life of the business is completed. Accordingly, the accounting period assumption requires that

financial reports depicting changes in wealth of an enterprise be prepared periodically. Required: Explain the relationship between the accounting period assumption and accrual basis accounting.

Business

Research has shown that numerous companies manage their earnings. A variety of earnings management techniques are available ranging from income smoothing to outright fraud. Define income smoothing and explain how it is implemented

Business

Intermediaries specialize in trade and production.

Answer the following statement true (T) or false (F)

Business

An intended donee beneficiary may enforce the contract against the promisor only

a. True b. False Indicate whether the statement is true or false

Business