Business Segment Information Is Included in the Notes to Financial

question 10

Multiple Choice

Business segment information is included in the notes to financial statements because:

• A)the amounts shown on the financial statements of most companies are just too large to comprehend.
• B)current and potential investors can make more informed judgments about the company.
• C)net income from various geographic areas can be clearly determined.
• D)by combining these amounts for each segment, ROI and cash flows for the company as a whole can be determined.

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Definitions:

Mining Exploration

The process of searching for minerals or precious metals in the Earth's crust, typically involving surveying, drilling, and sampling.

Prospectus Requirement

A legal obligation for companies to disclose detailed financial information before issuing stock to the public.

Regular Series

A regular series refers to a sequence or collection of events, objects, or publications that follow a consistent and predefined arrangement or schedule.

Market Value

The amount of money a buyer is willing to pay and a seller is willing to accept for an asset or item under current market conditions.