A Theory of Regulatory Behavior, Which States That Regulators Must

question 79

Multiple Choice

A theory of regulatory behavior, which states that regulators must take into account the preferences of legislators, producers, and consumers, is the

• A) capture theory.
• B) share-the-gains, share-the-pains theory.
• C) public interest theory.
• D) general interests theory.

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Definitions:

Accounting Period

A specific time period at the end of which an entity prepares financial statements to assess its financial performance and position.

Budgeting

The process of creating a plan to spend your money, allocating the estimated income towards various categories of expenses.

Financial Statements

Summary reports that convey the financial activities and condition of a business or individual.

Closing Entries

Journal entries made at the end of an accounting period to transfer temporary account balances to permanent accounts.