Often, We Turn to Others to Evaluate Our Actions, Feelings

question 120

Multiple Choice

Often, we turn to others to evaluate our actions, feelings, or abilities.This idea is the basis for

• A)gain-loss theory.
• B)social comparison theory.
• C)social exchange theory.
• D)the theory of social evaluation.

---

Definitions:

Vertical Analysis

A method of financial statement analysis in which each entry for the various categories is represented as a percentage of a base figure.

Sarbanes-Oxley Act

U.S. legislation enacted in 2002, aimed at protecting investors from fraudulent accounting activities by corporations.

Internal Control

The policies and procedures used to safeguard assets, ensure accurate business information, and ensure compliance with laws and regulations.

Ratios

Quantitative measures that are used to assess the financial health, performance, and condition of a business by comparing two pieces of financial data.