Making Notes in the Financial Statements to Explain the Justification

question 113

Multiple Choice

Making notes in the financial statements to explain the justification of valuation changes and other financial decisions would be an example of:

• A)conservatism.
• B)consistency.
• C)materiality.
• D)full disclosure.

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Definitions:

Counterconditioning

A therapy technique where a person is taught to replace an undesirable response to a stimulus with a more desirable one.

Resistance

In psychotherapy, the patient's unwillingness to discuss or approach certain topics, thoughts, or experiences.

Transference

An unconscious redirection of feelings from one person to another, often reproduced in therapy sessions.

Interpretation

The act of explaining or giving meaning to information, events, or behaviors based on one's perspective or understanding.