How Would the Not-For-Profit Organization Report Each Controlled Profit-Oriented Enterprise

question 22

Multiple Choice

How would the not-for-profit organization report each controlled profit-oriented enterprise?

• A) It is not required to report its interest in profit-oriented subsidiaries.
• B) By disclosure in the notes to the financial statements of the not-for-profit organization.
• C) By consolidating the controlled enterprise into its own financial statements or by using the equity method and disclosing additional financial information.
• D) By using the cost method together with appropriate note disclosure.

---

Definitions:

Margin of Error

A measure of the range of values below and above the sample statistic in a confidence interval; it quantifies uncertainty in estimates.

Standard Error

A measure of the variability or dispersion of a sample statistic from the population parameter.

Confidence Interval

A set of values, obtained from sample data, that probably includes the value of an unspecified population parameter, given a certain confidence level.

Point Estimate

A solitary figure or statistical measure employed to approximate the worth of a population parameter.