The FASB Has Set a Hierarchy of Inputs to Consider

question 45

Multiple Choice

The FASB has set a hierarchy of inputs to consider in assessing fair value.Which of the following relates to Level 3?

• A)Quoted prices for identical items in active,liquid,and visible markets.
• B)Unobservable inputs to be used in illiquid situations.
• C)Observable information for similar items in active or inactive markets.
• D)Unobservable inputs to be used in situations where markets do not exist.

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Definitions:

Goal Setting

The process of identifying specific, measurable, achievable, relevant, and time-bound objectives to be accomplished.

Job Characteristics Approach

A theory that suggests jobs can be designed with specific characteristics to increase employee motivation and satisfaction.

Feedback

Information given to a person or group about their behavior, performance, or product, used as a basis for improvement.

Task Identity

The degree to which a job requires completion of a whole and identifiable piece of work, meaning the employee can see the outcome of their efforts.