Which of the Following Statements About an Organization's Mission Statement

question 175

Multiple Choice

Which of the following statements about an organization's mission statement is true?

• A)The mission statement should express an organization's purpose.
• B)The mission statement should identify how an organization will meet the needs of its targeted customers.
• C)The mission statement must be communicated throughout the organization.
• D)All of the statements are true.

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Definitions:

Consolidation Adjustment

Adjustments made to a parent company's financial statements to remove the effects of intercompany transactions when consolidating its subsidiaries' financial statements.

Depreciation Expense

The allocated portion of the cost of a tangible fixed asset that is charged as an expense in a reporting period, reflecting the usage and wear and tear of the asset.

Accumulated Depreciation

The total amount of a tangible asset's cost that has been expensed to depreciation over the asset's useful life, reflecting how much of the asset's value has been used up.

Consolidation Worksheet

A tool used in preparing consolidated financial statements, allowing a company to adjust and eliminate the transactions among its controlled entities.