________ refers to the belief that strong and legitimate decision-making rights separate managers and employees.

A. Parochialism
B. Ethnocentrism
C. Uncertainty avoidance
D. Power distance


Answer: D

Business

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The loss due to write-down of inventory should be reported on the income statement as an expense

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

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The board of directors of a public stock company consists of

A. employees of a company who belong to the senior management and directly report to the CEO of the firm. B. individuals who formally represent the firm's shareholders and oversee the work of executives. C. managers appointed by the owners of a company to run its day-to-day operations. D. the legal owners of a publicly traded company that was purchased in a leveraged buyout.

Business

When requiring a letter of audit inquiry from the client's attorney, which of the following information will be requested?

a. A statement regarding conflicts of interest that the attorney may have with the client. b. The attorney's expert opinion of proper GAAP treatment related to client contingencies. c. An evaluation of the likelihood of unfavorable outcome of, and estimated losses from contingencies. d. Possible auditor defenses for third-party litigation related to ordinary negligence claims.

Business

Reliability refers to the extent to which a scale produces valid results if repeated measurements are made

Indicate whether the statement is true or false

Business