Which of the Following Is Most Likely to Be the First

question 23

Multiple Choice

Which of the following is most likely to be the first step taken by a business to protect its trade secrets?

• A) assert its property by preserving secrecy
• B) decide who can visit the business and what areas can be seen by them
• C) establish the existence of a trade secret as it is critical in controlling valuable knowledge resources
• D) identify confidential knowledge-based resources by conducting a trade secret audit
• E) require visitors, suppliers, and customers to sign a non-disclosure agreement

---

Definitions:

Accumulated Depreciation

The cumulative depreciation expense charged on a fixed asset throughout its useful life.

Contra-Liability

A liability account that is used to reduce the value of a related liability, not commonly used in accounting terminology.

Balance Sheet

A fiscal statement detailing a company's holdings, dues, and the portion owned by shareholders, recorded at a precise time.

Prepaid Rent

An asset account that represents rent payments made in advance of the period to which they relate.