Which of the Following Statements About the Modified Equity Method

question 23

Multiple Choice

Which of the following statements about the modified equity method is FALSE?

• A)When a government reports on a GBE, it does so applying the modified equity method.
• B)Under the modified equity method, financial position and operating results are presented as they are using equity method.
• C)When a GBE reports other comprehensive income, it is reported on a single line on the statement of remeasurement gains and losses.
• D)Under the modified equity method, adjustments are made to conform the financial position or operating results of the GBE to the accounting principles followed by the government.

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Definitions:

Media Richness Continuum

A scale measuring communication media's ability to reproduce the information sent over them, ranging from rich (face-to-face interaction) to lean (text messages).

Formal Numerical Documents

Official records that contain numerical data, such as financial statements, statistical reports, or performance metrics, used for analysis and decision-making.

Output

is the final product, result, or amount of production from a process, system, or activity.

Interpretations

The action of explaining the meaning of something or the way a situation, action, result, etc., is perceived or understood.