The Third Party Who Checks Annual Financial Statements to Ensure

question 97

Multiple Choice

The third party who checks annual financial statements to ensure that they are prepared according to GAAP and verifies that the information reported is reliable is the:

• A)NYSE Enforcement Board.
• B)Accounting Standards Board.
• C)Securities and Exchange Commission (SEC).
• D)auditor.

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Definitions:

State-Dependent Learning

The phenomenon where information learned in a particular physiological or psychological state is more easily recalled when in the same state.

Observational Learning

A learning process through which behaviors are acquired by watching and imitating others.

Operant Conditioning

A learning process in which the strength of a behavior is modified by the behavior's consequences, such as reward or punishment.

Insanity Defense

A legal defense strategy in which the defendant claims they were incapable of understanding the nature or wrongfulness of their actions due to mental illness at the time of the crime.