Which of the Following Is a Valid Argument for Separate

question 16

Multiple Choice

Which of the following is a valid argument for separate accounting principles for proprietary activities?

• A) Two separate measurement focuses and bases for accounting within the same set of financial statements are confusing.
• B) There are no clear-cut distinctions between business and non-business activities.
• C) The measurement focus on all economic resources is more consistent with the GASB's objectives that financial reporting should provide information to help determine whether current-year revenues were sufficient to pay for current-year services.
• D) Surveys of statement users indicate that information on depreciation is not of high priority to government decision makers.

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Definitions:

Obstacles

External factors or conditions that hinder progress or make it difficult to achieve an objective or goal.

Rites

Ceremonial practices or rituals that mark important events or transitions within a culture or organization.

Rituals

Rituals are structured and symbolic actions performed by individuals or groups to convey values, beliefs, or celebrate certain events or achievements.

Ceremonies

Formal events, often rich in tradition and symbolism, conducted on certain occasions to honor a particular event, achievement, or individual.