Rather Than Directly Suing a Company for Damages,it Can Be

question 10

Multiple Choice

Rather than directly suing a company for damages,it can be more effective to sue

• A)the individuals who are employed by the company.
• B)the government for not enforcing laws that would have prevented the damage.
• C)the government for making the laws so stringent.
• D)the owners of the company.

Comprehend the classification and reporting of fund balances in governmental funds.

Recognize the different fiduciary funds and their usage in governmental accounting.

Understand the implications of specific decisions (e.g., city council decisions) on fund balance designations.

Identify the entities responsible for establishing accounting principles for governmental entities and their origins.

---

Definitions:

Fixed Costs

Expenses that do not change with the level of production or sales, such as rent, salaries, and loan payments.

Cash Break-even

The point at which a company or project has enough cash flow to cover its operating expenses, without considering profits.

Accounting Basis

The method used to record the financial transactions of a business (e.g., cash basis, accrual basis).

Pay Back

The period of time it takes for an investment to generate enough returns to recover the original investment cost.