Which of the Following Is an Example of an Environmental

question 64

Multiple Choice

Which of the following is an example of an environmental change applicable to organizations?

• A) Budget adjustments
• B) Diversity adjustments
• C) Policy changes
• D) New processes
• E) Economic changes

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Definitions:

Acquisition Method

A collection of accounting methods utilized to combine the financial reports of a parent company with those of its subsidiary companies.

Consolidated Equipment

The aggregate of equipment assets combined from parent and subsidiary entities for the purpose of financial reporting.

Par Value

The face value of a bond or stock as stated by the issuer, which is not indicative of its market value.

Fair Value

An estimate of the market value of an asset or liability, based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.