Which of the Following Is NOT a Criterion for a Federal

question 69

Multiple Choice

Which of the following is NOT a criterion for a federal government "component" to be considered a reporting entity and therefore required to issue a financial report?

• A) There is a management responsible for controlling and deploying the component's outputs and outcomes and for executing its budget. It is held accountable for its performance.
• B) The component is of sufficient size and significance that its financial statements would provide a meaningful representation of its operations and financial condition.
• C) The component is of sufficient cohesiveness of operations that its financial statements would provide a meaningful representation of a specific program or type of activity.
• D) Users are interested in the information to be reported in its financial statements and could use it to make resource allocation and related decisions.

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Definitions:

Exploration

The process of seeking out new knowledge, strategies, or practices, often to foster innovation or adapt to changes.

Management Philosophy

Represents the beliefs and principles that guide a manager's decisions and actions concerning leadership, employee management, and organizational practices.

Orientation Practices

Procedures and activities designed to introduce and acclimatize new members or employees to an organization or situation.

Promotional System

The policies and practices involved in advancing employees within an organization based on merit, seniority, or other criteria.