Which of the Following Is NOT a Criterion for a Federal

question 69

Multiple Choice

Which of the following is NOT a criterion for a federal government "component" to be considered a reporting entity and therefore required to issue a financial report?

• A) There is a management responsible for controlling and deploying the component's outputs and outcomes and for executing its budget. It is held accountable for its performance.
• B) The component is of sufficient size and significance that its financial statements would provide a meaningful representation of its operations and financial condition.
• C) The component is of sufficient cohesiveness of operations that its financial statements would provide a meaningful representation of a specific program or type of activity.
• D) Users are interested in the information to be reported in its financial statements and could use it to make resource allocation and related decisions.

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Definitions:

Short-Term Memory

The capacity for holding a small amount of information in mind in an active, readily available state for a short period of time.

Rehearsed Information

Information that has been consciously reviewed multiple times in order to enhance memory retention and recall.

Preserving Information

The process of maintaining or keeping information intact and accessible over time.

Vivid

Producing powerful feelings or strong, clear images in the mind.