Creating a Large Vacuum Leak Will Cause the Short-Term Fuel

question 24

True/False

Creating a large vacuum leak will cause the short-term fuel trim (STFT)and long-term fuel trim (LTFT)to decrease.

---

Definitions:

Entity Method

An accounting approach where investments in subsidiaries are recorded at cost or in accordance with specific accounting standards, without consolidating the financial statements of the parent and subsidiary.

Carrying Value

The book value of assets and liabilities as recorded on the balance sheet, calculated as the original cost less any depreciation, amortization, or impairment costs.

Fair Value

An estimate of the market value of an asset or liability based on the current market prices or valuations of similar transactions.

Parent-Company Extension Method

An accounting technique where a parent company extends its financial statements to include the financial activities of its subsidiary as if they were its own.