When It Comes to Drug and Alcohol Testing

question 39

Multiple Choice

When it comes to drug and alcohol testing,

• A) by law only government agencies can require it.
• B) a majority of companies require it of all applicants.
• C) only a few companies now require it.
• D) the Supreme Court has declared it unconstitutional.
• E) companies with fewer than 500 employees cannot legally perform them.

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Definitions:

Earnings Quality

An assessment metric that evaluates the degree to which a company's earnings are derived from sustainable sources and are repeatable, controllable, and bankable.

Multi-Step Income

Multi-step income statements provide a detailed breakdown of revenues, expenses, and profit, distinguishing between operating and non-operating activities.

Cash Flow Statement

A document highlighting the impact of adjustments in balance sheet items and earnings on cash and cash equivalents, divided into operating, investing, and financing sections.

Abnormal Earnings

The profits that exceed or fall short of the expected normal rate of return for a business.