A Company Is Not Required to Follow a Specific Format

question 34

True/False

A company is not required to follow a specific format in making the disclosures for its segments but the FASB encourages the most useful format for its specific circumstances.

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Definitions:

Defense Mechanism

Unconscious psychological strategies employed to protect oneself from anxiety or social sanctions and to provide a refuge from a situation with which one cannot currently cope.

Painful Realities

The acceptance or acknowledgment of difficult, distressing, or unpleasant truths or situations.

Rationalization

A defense mechanism in which controversial behaviors or feelings are justified and explained in a seemingly rational or logical manner to avoid the true explanation.

Unconsciously Fearful

Pertaining to the experience of fear or anxiety that operates below the level of conscious awareness, influencing behavior and perception without overt acknowledgment.