An Advocate of the Institutional Theory Would Argue in Favor

question 40

Multiple Choice

An advocate of the institutional theory would argue in favor of businesses .

• A) focusing solely on profit-making ventures
• B) gaining the trust of constituent groups
• C) emphasizing continuing professional education
• D) acting in a manner that benefits all of society

---

Definitions:

Depreciation Expense

The allocation of the cost of a tangible asset over its useful life, reflecting the asset's consumption, wear and tear, or obsolescence.

Prepaid Insurance

An asset account on the balance sheet representing insurance paid in advance that provides coverage over future periods.

Net Income

The total profit of a company after all expenses, taxes, and costs have been subtracted from total revenue.

Accounts Receivable

Money owed to a business by its clients or customers for goods or services provided on credit.