Bruno Tells Sascha That He Thinks Students in Private Schools

question 10

Multiple Choice

Bruno tells Sascha that he thinks students in private schools outperform those in public schools, because students in private schools wear uniforms. The most likely type of reasoning that Bruno is using is:

• A) Cause-effect
• B) Sign
• C) Analogy
• D) Generalization

---

Definitions:

Equity Securities

Equity securities are financial instruments that represent ownership in a company, such as stocks, giving holders the right to a proportion of the company’s profits.

Fair Value Accounting

is a financial reporting approach where companies value their assets and liabilities at estimates of their current market prices.

GAAP

Generally Accepted Accounting Principles, which are standards and procedures companies follow in preparing financial statements.

Valuation Allowance Accounts

Accounts used to reduce the carrying value of assets to an amount that approximates their fair value, especially when it is impossible to realize the entry value.