The Difference Between Positive Accounting Theory and Legitimacy Theory Is

question 18

Multiple Choice

The difference between Positive Accounting Theory and Legitimacy Theory is that:

• A) Legitimacy Theory does not rely on the assumption that all action is driven by individual self-interest.
• B) Legitimacy Theory makes no assumptions about the efficiency of markets.
• C) Legitimacy Theory suggests that organisations have a 'social contract' with society.
• D) All of the given options are correct.

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Definitions:

Oxygen

A chemical element (O) essential for most forms of life, involved in cellular respiration and used in various industrial applications.

Enuresis

The medical term for involuntary urination, especially by children at night.

-esis

-esis is a suffix used in medical terminology to indicate an action, process, or condition, often used to describe pathological conditions.

Serum

The liquid part of blood that remains after clotting has occurred, devoid of cells and fibrinogen but full of proteins and antibodies.