Which of the Following Best Represents Voluntary Binding Agreements People

question 19

Multiple Choice

Which of the following best represents voluntary binding agreements people or businesses enter into in order to obtain something to which they are not otherwise entitled?

• A) Torts
• B) Memorandums
• C) Contracts
• D) Articles of incorporation

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Definitions:

Management Accounting

The accounting system used within the organization to help the organization achieve its goals.

Financial Accounting

Accounting for the revenues, expenses, assets, liabilities, and equities of an organization, concentrating on external users (shareholders, lenders, and government). Constrained by FASB rulings and other generally accepted accounting principles.

Tax Purposes

The reasons or objectives related to the calculation and payment of taxes to comply with legal requirements.

Shareholders' Wealth

The total value of a company to its shareholders; typically measured by market capitalization or the value of shares held.