Which Two Economic Concepts Are Fundamental to the Relevance of Fair

question 13

Multiple Choice

Which two economic concepts are fundamental to the relevance of fair values to accounting?
i) The Efficient Markets Hypothesis
Ii) Supply and Demand
Iii) Economic Rationalism
Iv) Marginal Utility

• A)i.& iii.
• B)i.& ii.
• C)ii.& iv.
• D)iii.& iv.

---

Definitions:

Subgroups Consistency

The degree to which the policies, practices, and procedures applied to various subgroups within an organization are uniform and equitable.

Overall Direction

The general course or strategic path an organization or individual plans to take to achieve its goals or objectives.

Cybernetic Control System

One that is self‐contained in its performance‐monitoring and correction capabilities.

Performance-Monitoring

The process of continuously analyzing performance metrics to assess the efficiency and effectiveness of various activities in an organization.