Direct Observation of Behavioural Assessment Tends to Be More Valid

question 177

Multiple Choice

Direct observation of behavioural assessment tends to be more valid when:

• A) It is performed behind a one-way mirror.
• B) Those observing are naïve to the client's problem.
• C) More than one observer is involved.
• D) None of the above.

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Definitions:

Vertical Analysis

A method of financial statement analysis in which each entry for each of the three major categories of accounts (assets, liabilities, and equities) in a balance sheet is represented as a proportion of the total account.

Sales Revenues

Income received from selling goods or services over a period of time.

Net Sales

The amount of sales generated by a company after deducting returns, allowances for damaged or missing goods, and discounts.

Current Ratio

A liquidity ratio that measures a company's ability to cover its short-term obligations with its short-term assets.