A Company Can Change to a New Method of Accounting

question 146

Multiple Choice

A company can change to a new method of accounting if management can justify that the new method results in

• A)more meaningful financial information.
• B)a higher net income.
• C)a lower net income for tax purposes.
• D)less likelihood of clerical errors.

Understand the concept and implementation of apparent authority in agency relationships.

Comprehend the requirements for a person to possess apparent authority.

Distinguish between actual express, implied, and apparent authority.

Identify the roles and powers of general and special agents.

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Definitions:

Minimum Wage

The lowest legal wage that can be paid to most workers.

Unemployed Workers

Unemployed workers are individuals who are actively looking for employment but are not currently employed.

Government Imposes

Actions taken by a government to enforce regulations, taxes, or penalties on its citizens or businesses within its jurisdiction.

Structurally Unemployed

Individuals who are unemployed due to changes in the industry they worked in or mismatches between their skills and what employers need.