The Subsequent Event That Is an Example of a Condition

question 34

Multiple Choice

The subsequent event that is an example of a condition occurring after the reporting date is:

• A) realisation of recorded year-end receivables at a different amount than recorded.
• B) settlement of recorded year-end estimated product warranty liabilities at a different amount than recorded.
• C) determining the proceeds of assets sold before the end of the reporting period
• D) purchase of a business.

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Definitions:

Test Statistic

A calculated value used in statistical hypothesis testing to compare against a critical value to decide whether to reject the null hypothesis.

T Value

A statistic calculated in a T-test that measures the size of the difference relative to the variation in your sample data.

Homogeneity-of-Variance

The assumption that different samples in a study have the same variance or variability, often checked before applying certain statistical tests.

T Test

A statistical test used to compare the means of two groups and determine if there are statistically significant differences between them.