What Is Defalcation

question 40

Multiple Choice

What is Defalcation?

• A) The ruling of a judge to restore the assets wrongfully taken to their rightful owner.
• B) The act of conspiring to commit perjury.
• C) The process of finding stolen assets through financial statement analysis.
• D) The appropriation of assets for the benefit of those who do not rightfully deserve them.

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Definitions:

Consolidated Net Income

The total amount of net income earned by a parent company and its subsidiaries, presented in the consolidated financial statements.

Non-Controlling Interest

A financial interest in a subsidiary not attributed to the parent company, representing minority shareholders' equity in the subsidiary's net assets.

Bonds Payable

Long-term liabilities representing money owed by a corporation or government to bondholders, to be repaid at a specific future date.

Straight Line Amortization

A method of amortizing an intangible asset evenly over its useful life.