For Purposes of Discontinued Operations, the Key Elements in Determining

question 37

Multiple Choice

For purposes of discontinued operations, the key elements in determining that a separate segment exists are that the component is

• A) a separate business and a separate legal entity.
• B) a separate legal entity and generates its own net cash flows.
• C) in a separate geographic region and can be sold.
• D) a separate business and generates its own cash flow.

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Definitions:

Tradeoff

A situation that involves losing one quality, aspect, or amount of something in return for gaining another quality, aspect, or amount.

Self-regulation

The ability to monitor and control one's own behavior, emotions, or thoughts, adapting to circumstances and achieving personal or professional goals.

Self-control

The capacity to regulate one's thoughts, emotions, and behaviors in the face of temptations and impulses.

Habits

Regular behaviors or practices that are performed automatically, often without conscious thought.