Which of the Statements Below Is FALSE

question 94

Multiple Choice

Which of the statements below is FALSE?

• A)A company can take a simple approach to estimating next year's growth in revenue by taking just the prior year's growth rate.
• B)A company can take a simple approach to estimating next year's growth in revenue by having a number of departments supply input.
• C)A company can take a simple approach to estimating next year's growth in revenue by using the average dollar increase in sales from the past two years.
• D)A company can take a simple approach to estimating next year's growth in revenue by averaging the previous two years' annual growth rates.

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Definitions:

Intrastate Offering Exemption

A legal exemption allowing securities to be sold within a single state without needing to register with the federal Securities and Exchange Commission.

Rule 147

A regulation under the U.S. Securities Act of 1933, facilitating companies to raise funds from investors within their state without registering the offer with the SEC.

Intrastate Resale

The sale of goods or services within the same state, not crossing state boundaries.

Section 404

A section of the Sarbanes-Oxley Act in the United States that requires management and auditors to report on the adequacy of a company's internal control on financial reporting.