In Rendering Interpretations of the Law, Appellate Courts Generally Follow

question 26

Multiple Choice

In rendering interpretations of the law, appellate courts generally follow precedent, in keeping with the common-law doctrine of ______________.

• A) stare decisis
• B) caveat emptor
• C) amicus curiae
• D) lex talionis

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Definitions:

Dividends

Payments made by a corporation to its shareholder members, usually as a distribution of profits.

Indirect Method

A way of preparing the cash flow statement where net income is adjusted for changes in balance sheet accounts to reflect cash transactions.

Comparative Balance Sheets

Financial statements that present the assets, liabilities, and shareholders' equity of a company at different points in time for comparison.

Accumulated Depreciation

The total amount of depreciation expense that has been recorded against a fixed asset since it was put into use.