An Argument to Support the Requirement That All Companies Over

question 1

Multiple Choice

An argument to support the requirement that all companies over a certain size should adhere to accounting standards is:

• A) Larger companies have greater political and economic importance and this increases the demand for financial information about the entity by external users.
• B) Larger companies can afford to pay for complex accounting systems and the experts necessary to design and maintain them.
• C) The Conceptual Framework and accounting standards are designed for larger enterprises.
• D) The Australian Securities and Investment Commission should only be responsible for large enterprises.

Comprehend the structure and methodology behind the need-satisfaction sales presentation.

Analyze the effectiveness and limitations of the memorized sales presentation.

Understand the core principles of professional selling, including the salesperson's approach and honesty.

Distinguish the differences between various sales presentation methods.

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Definitions:

SEC

Stands for the Securities and Exchange Commission, a U.S. government agency responsible for regulating the securities markets and protecting investors.

1934 Securities Act

U.S. legislation aimed at regulating the secondary securities market, requiring disclosure of material information related to securities transactions and aimed at combating fraud and manipulation.

Negligence

A failure to behave with the level of care that someone of ordinary prudence would have exercised under the same circumstances, leading to unintended damage or harm.

Audit

A systematic review or assessment of financial accounts, records, or transactions to ensure accuracy, compliance with standards, and to verify reports.