Which of the Following Is a Limitation of Consolidated Financial

question 25

Multiple Choice

Which of the following is a limitation of consolidated financial statements?

• A) Consolidated statements provide no benefit for the stockholders and creditors of the parent company.
• B) Consolidated statements of highly diversified companies cannot be compared with industry standards.
• C) Consolidated statements are beneficial only when the consolidated companies operate within the same industry.
• D) Consolidated statements are beneficial only when the consolidated companies operate in different industries.

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Definitions:

Trained Job Analysts

Professionals who have received specific training to understand and evaluate the responsibilities, duties, and specifications of jobs in order to create accurate job descriptions and classifications.

Comprehensive Job Analysis

Comprehensive Job Analysis involves systematically studying and recording the responsibilities, duties, skills, and work environment of a particular job to determine its specifications and requirements.

Human Resource Personnel

Individuals working in the human resources department, involved in managing employee relations, benefits, recruitment, and compliance.

Human Factors Approach

A discipline focused on understanding the interactions between humans and other elements of a system, aiming to optimize human well-being and overall system performance.