When a Court Orders That Any Profits Made from Wrongdoing

question 7

Multiple Choice

When a Court orders that any profits made from wrongdoing be paid over to the victim, this is known as

• A) statutory damages.
• B) punitive damages.
• C) an accounting.
• D) compensatory damages.
• E) an injunction.

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Definitions:

Initial Value Method

An accounting method that records investments at their original purchase cost without adjusting for changes in market value.

Net Position

Net Position represents the difference between an entity's assets and liabilities, indicating the financial health or net worth of an entity.

Fund Balance

The difference between the assets and liabilities in a governmental fund, representing the net assets available for spending.

Statement of Activities

A financial report mostly used by non-profit organizations, displaying revenues, expenses, and changes in net assets for a specific period.