A Privity Relationship Means That

question 70

Multiple Choice

A privity relationship means that:

• A) A party may be a user of the financial statements
• B) A party may sue if fraud has taken place
• C) A party's financial liability is limited
• D) A party has a contractual obligation

---

Definitions:

Corner-point Solution

A method in optimization problems, especially linear programming, where the optimal solution is found at the vertex or corner of the feasible region.

Feasible Region

The set of all possible points that satisfy a problem’s constraints, used in optimization to find the best solution.

Iso-profit Line

A graphical representation in operations research showing combinations of various inputs that result in the same profit level.

Corner Points

In optimization problems, points on the graph where the feasible region's edges meet and potential solutions are considered.