SAS 57 Lists All of the Following Objectives in Evaluating

question 8

Multiple Choice

SAS 57 lists all of the following objectives in evaluating accounting estimates except:

• A) the accounting estimates follow standard industry practices.
• B) all accounting estimates that could be material to the financial statements have been developed.
• C) the accounting estimates are reasonable in the circumstances.
• D) the accounting estimates are presented in conformity with applicable accounting principles.
• E) the accounting estimates are properly disclosed.

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Definitions:

Test Statistic

A value calculated from sample data used to determine whether to reject the null hypothesis in statistical hypothesis testing.

Arrival Rate

A measure often used in queuing theory indicating the average number of items or people arriving at a system per unit of time.

Expected Frequency

In statistics, it's the number of observations that are theoretically predicted for a category or class within a dataset, based on the probabilities of outcomes.

Business College

A business college is an educational institution that specializes in teaching courses related to business, such as finance, marketing, and management.