If a Test Measures What It Is Supposed to Measure

question 346

Multiple Choice

If a test measures what it is supposed to measure, it is:

• A) reliable.
• B) valid.
• C) standardized.
• D) criterion referenced.

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Definitions:

Financial Reports

Formal records of the financial activities and position of a business, individual, or other entity.

Comparability

A quality that enables users to identify similarities and differences between two or more items of financial information.

Financial Reports

Detailed statements that provide information on a company's financial performance and position over a specific period.

Stockholders' Equity

The interest left in a corporation's assets, after removing its obligations, which indicates the ownership share.