Objective Setting in the Public and Not-For-Profit Sectors Will Be

question 16

Multiple Choice

Objective setting in the public and not-for-profit sectors will be different because:

• A) Quantitative measures could obscure more appropriate qualitative indicators
• B) These organizations do not achieve objectives
• C) They are not in competitive environments
• D) Managers resist any attempt to work towards objectives

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Definitions:

Historical Cost

The original monetary value of an asset or investment at the time of its acquisition or payment.

Exposure Draft

A document issued by accounting and regulatory bodies for public comment that proposes new or changes to existing accounting policies.

Fair Value

An estimate of the market value of an asset or liability, based on current prices in an orderly transaction between willing participants.

Financial Assets

Any assets that are cash, an ownership interest in an entity, or a contractual right to receive or deliver cash or another financial instrument.