Which of the Following Is NOT One of the Four

question 63

Multiple Choice

Which of the following is NOT one of the four guidelines for admitting expert testimony, as established by Daubert?

• A) The falsifiability of the technique.
• B) A known error rate.
• C) General acceptance in the scientific community.
• D) A mandatory review by appellate courts.

Computation and analysis of cash payments and cash receipts in the direct method for various accounts (operating expenses, salaries, merchandise inventory, and insurance).

Identification and categorization of activities (operating, investing, and financing) in the statement of cash flows.

Calculation of cash flows from operating activities using both the direct and indirect methods.

Analysis of the effects of changes in working capital accounts (like Prepaid Expenses, Salaries Payable, Accounts Receivable, Inventories, Accounts Payable) on cash flows.

---

Definitions:

GAAP

Generally Accepted Accounting Principles, a collection of commonly-followed accounting rules and standards for financial reporting that companies in the U.S. must adhere to.

Financial Reports

Documents that present a company's financial performance and position, typically including the balance sheet, income statement, and cash flow statement.

Accounting Distortions

Discrepancies that arise in financial statements due to methods of valuation, estimation errors, or misapplication of accounting principles.

Financial Ratios

Quantitative measures derived from financial statement analysis to assess a company's financial health, performance, and viability.