The time period assumption is necessary because:
A) inflation exists and causes confusing swings in financial statement amounts over time.
B) external users of financial statements want accurately-reported net income for a specific period of time.
C) financial statements users expect full disclosure of all events throughout the entire time period translated in dollars.
D) it is required by the federal government.
B
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Which of the following actions was a key element of the Enron audit fraud?
a. Capitalizing line costs rather than expensing them. b. Misrepresenting bribes from suppliers as a reduction of operating costs. c. Shifting debt to off-balance sheet special entities. d. Concealing large losses related to securities investments.
Which of the following is not one of the four biases that threaten online negotiations?
A. sinister attribution bias B. burned bridge bias C. temporal synchrony bias D. email impasse bias
Which of the following statements about savings bank life insurance is true?
A) The maximum amount that a depositor can purchase is $50,000. B) The maximum amount of insurance that a depositor can purchase is limited to the amount of money on deposit in his or her savings account with the savings bank. C) The objective of savings bank life insurance is to provide protection to the bank in case a borrower dies before a loan is repaid. D) The objective of savings bank life insurance is to provide low-cost insurance to consumers by holding down expenses.
Which of the following does Saul Gellerman believe is ineffective for preventing company ethical lapses?
a. Ethics training b. Screening out unethical employees c. Both a and b d. None of the above