Barry Bay Runs a Small Contracting Business That He Operates

question 33

Multiple Choice

Barry Bay runs a small contracting business that he operates as a corporation.He never had to borrow money, and he is the only shareholder.What is most likely to be the objective when preparing his financial statements?

• A)Performance evaluation
• B)Cash flow prediction
• C)Income smoothing
• D)Tax minimization

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Definitions:

Technological Progress

The overall process of invention, innovation, and diffusion of technology or processes.

Farm Incomes

The earnings from agricultural activities, considering the revenue from crop and livestock sales minus production costs.

U.S. Agricultural Industry

The sector of the United States economy that includes production, processing, and marketing of crops and livestock.

Supply And Demand

The economic model that describes how the price and quantity of goods and services are determined in a market based on the relationship between the amount available and the want for it.