71 (P 549) a Company Should Disclose a Commitment Made

question 36

Multiple Choice

71. (p. 549) A company should disclose a commitment made to purchase something in the future in all of the following situations except:

• A)if it involves an unusual degree of risk.
• B)if it is in the normal course of business.
• C)if it involves a significant expenditure.
• D)if it commits the entity to issue shares.

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Definitions:

Campus Police

Specialized law enforcement agencies assigned to patrol and ensure the safety of college and university campuses.

South Carolina State University

A historically black university located in Orangeburg, South Carolina, founded in 1896.

Black Arts Movement

An African American-led art movement, active during the 1960s and 1970s, focused on creating politically engaged work that explored African American cultural and historical themes.

John Coltrane

An influential American jazz saxophonist and composer, known for his groundbreaking work in the genres of hard bop, modal jazz, and free jazz.