Which of the Following Statements Is True of the Financial

question 37

Multiple Choice

Which of the following statements is true of the Financial Accounting Standards Board (FASB) ?

• A)Its authority comes from the Internal Revenue Service.
• B)It consists of five members appointed by the Federal Trade Commission (FTC).
• C)Its members can be reappointed to serve one additional term.
• D)Its members can retain ties with firms in which they were previously employed.

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Definitions:

Professional Corporation

A business structure legally recognized that allows licensed professionals, such as doctors or lawyers, to offer their services.

National Practitioner Data Bank

A U.S. database that contains information on medical malpractice payments, sanctions, and licensure actions against healthcare providers.

Health Care Quality Improvement Act

A federal statute enacted to improve the quality of medical care, largely by restricting the ability of physicians with a history of malpractice from moving to another state to escape their history.

Ordinary Care

The reasonable level of care, diligence, and judgment that a person in a particular profession is expected to exercise under specific circumstances.