Any Unrealized Gains or Losses on Trading Securities Would Have

question 45

True/False

Any unrealized gains or losses on trading securities would have to be added back to or deducted from net earnings on the statement of cash flows under the indirect method of determining cash flows from operating activities.

---

Definitions:

Principal-agent Problem

A conflict of interest that arises when one party (the agent) is expected to act in the best interest of another (the principal) but has incentives to act in their own interest.

Purely Competitive Labor Market

A resource market in which many firms compete with one another in hiring a specific kind of labor, numerous equally qualified workers supply that labor, and no one controls the market wage rate.

Rate of Unionization

The percentage of workers who are members of a union within a particular workforce or industry.

Protective Service Workers

Individuals employed in occupations that focus on public safety, law enforcement, and security services.