What is the primary determinant in the difference between fraud and errors in financial statement reporting?
a. The materiality of the misstatement.
b. The intent to deceive.
c. The level of management involved.
d. The type of transaction affected.
b
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What is true of validity?
A. Validity measures the level of cultural fit. B. Validity can only be measured in one way. C. Validity identifies how free a measurement is from random error. D. Validity cannot be explained using correlation coefficients. E. Validity ensures the fairness of employment practices during selection procedures.
Which of the following variations of the retail inventory method would generally result in the lowest cost-to-retail ratio in a period of rising prices?
A. FIFO B. LIFO C. average cost D. lower of average cost or market
The concept of "the needs of the many outweigh the needs of the few" is most consistent with which ethical perspective:
A. Utility. B. Fairness. C. Liberty. D. Duty.
One possible disadvantage of mediation-arbitration as a method for third party dispute resolution is:
A. The threat of arbitration makes successful mediation less likely to occur. B. The mediator-arbitrator develops too much knowledge of the parties' concerns in the mediation phase and can no longer remain neutral in the arbitration phase. C. The mediator-arbitrator can have too much power because of the threat of what they'll do in arbitration. D. The parties may withhold information during the mediation because they fear the mediator-arbitrator will use the information against them in the arbitration phase.