In the Legal Sector, Some Practice Areas Have Declined in Recent

question 102

Multiple Choice

In the legal sector, some practice areas have declined in recent years.For example, personal-injury and medical-malpractice cases have been undercut by state laws limiting class-action suits, out-of-state plaintiffs, and payouts on damages, and securities class-action litigation has declined in part because of a buoyant stock market.How does this affect the market for lawyers?

• A)The demand for lawyers shifts to the left.
• B)The supply of lawyers shifts to the left.
• C)The quantity of lawyers demanded decreases and this is represented by a movement along the demand curve.
• D)Both the demand and supply curves decrease.

Distinguish between noncash investing and financing activities and their reporting requirements.

Comprehend the impact of treasury stock transactions and changes in equity on the cash flows.

Understand how amortization of intangible assets affects operating activities in statement of cash flows.

Understand the process of preparing the statement of cash flows using the indirect method.

---

Definitions:

Hip Replacement

A surgical procedure in which a damaged hip joint is replaced with an artificial implant to reduce pain and improve mobility.

Hysterectomy

A surgical procedure for removing the uterus, and sometimes also the ovaries and fallopian tubes, used to treat various gynecological conditions.

Abdominal Aorta Aneurism

An abnormal enlargement of the lower part of the aorta, the major blood vessel supplying blood to the body, which can rupture and cause life-threatening bleeding.

Warfarin (Coumadin)

A medication used as an anticoagulant (blood thinner) to prevent the formation of harmful blood clots.