Which One of the Following Is More Difficult to Evaluate

question 36

Multiple Choice

Which one of the following is more difficult to evaluate objectively?

• A)Presentation of financial statements in accordance with generally accepted accounting principles
• B)Compliance with government regulations
• C)Efficiency and effectiveness of operations
• D)All three of the above are equally difficult.

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Definitions:

Annual Deficit

The shortfall in a government's income compared to its spending in a given fiscal year.

George Bush

Refers to either George H.W. Bush, the 41st President of the United States (1989-1993), or his son George W. Bush, the 43rd President of the United States (2001-2009), each having made lasting impacts on American and international politics.

Crowding-in

An economic phenomenon where increased government spending leads to higher private sector investment.

Crowding-out

A situation where increased public sector spending reduces the amount of available funds for private sector investments.