According to the Text, It Is Important for Criteria to Be

question 89

Multiple Choice

According to the text, it is important for criteria to be relevant, reliable, fair, practical, and:

• A)substantive.
• B)objective.
• C)subjective.
• D)sensitive.

---

Definitions:

Full Goodwill Method

An accounting approach where the total fair value of goodwill is recorded in the books, even if the parent company does not own 100% of a subsidiary.

Non-controlling Interest

The portion of equity ownership in a subsidiary not held by the parent company, reflecting minority shareholders' stake in the subsidiary's net assets.

Fair Value

An estimate of the price at which an asset or liability could be exchanged between willing parties in an arm's length transaction.

Share Capital

Fund raised by a company through the issuance of shares to investors, representing the equity stake of shareholders in the company.