Which of the Following Statements Is False

question 19

Multiple Choice

Which of the following statements is false?

• A) Annual reports must include three-year audited balance sheets and two-year audited income statements.
• B) The balance sheet is prepared on a particular date.
• C) Interim statements are generally prepared quarterly.
• D) When a parent company owns more than 50% of the voting stock of a subsidiary, the financial statements are consolidated for both entities.

---

Definitions:

Two-Tailed Test

A statistical test of hypothesis where the area of interest spans both tails of the distribution, allowing for investigation of deviations in two opposite directions.

Sample Proportions

The fraction or percentage of observations in a sample that fall into one particular category or class.

Standard Error

The standard deviation of the sampling distribution of a statistic, commonly the mean, indicating the variation of a sample statistic from the population parameter.

Lower Tailed Test

A statistical hypothesis test where the critical area of a distribution is in its lower tail, used to determine if a sample mean is significantly lower than a known or assumed population mean.