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:

Six Sigma

A method that provides organizations tools to improve the capability of their business processes by increasing performance and decreasing process variation.

Communications Space

Refers to the platforms and channels used for exchanging information and messages between individuals or organizations.

Defect

A flaw or imperfection in a product or system that hinders its intended functionality or quality.

Guaranteed Period

A timeframe during which certain conditions of a contract, such as warranty or returns, are assured to be honored.