Which Organization Has the Highest Level of Authority for Setting

question 21

Multiple Choice

Which organization has the highest level of authority for setting GAAP for nongovernment, not-for-profit organizations?

• A) Financial Accounting Standards Board (FASB).
• B) Governmental Accounting Standards Board (GASB).
• C) American Institute of Certified Public Accountants (AICPA).
• D) National Council on Governmental Accounting (NCGA).

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Definitions:

Inelastic

Describes a situation where the demand or supply for a good or service is not significantly altered when the price of that good or service changes.

Total Revenue

The total amount of money received by a company for goods sold or services provided during a certain period of time.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a specific price level.

Unit Elasticity

A situation where a percentage change in price leads to an equal percentage change in quantity demanded or supplied.