What Is the Relationship Between the Securities and Exchange Commission

question 81

Multiple Choice

What is the relationship between the Securities and Exchange Commission and accounting standard setting in the United States?

• A) The SEC requires all companies listed on an exchange to submit their financial statements to the SEC.
• B) The SEC coordinates with the FASB in establishing accounting standards.
• C) The SEC has a mandate to establish accounting standards for corporations listed in the U.S. capital markets.
• D) The SEC reviews financial statements for compliance with U.S. GAAP or IFRS.

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Definitions:

Comprehensive Chronology

A detailed and complete sequential record of events or historical moments, often presented in time order.

Bad-news Messages

Communications that relay unpleasant or unwelcome information to the recipient.

Organizational Pattern

The arrangement or structure of ideas or content within a piece of writing or speech, aiding in clarity and comprehension.

Persuasive Messages

Communications designed to influence the attitudes, beliefs, or behaviors of others through argumentation, evidence, and appeals to emotion.