In Practice,most Companies Use the Discrete Approach in Preparing Their

question 12

Multiple Choice

In practice,most companies use the discrete approach in preparing their internal interim financial statements.Which of the following costs is usually not included in the financial statements?

• A)Insurance
• B)Income taxes
• C)Maintenance
• D)Bonuses to employees

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Definitions:

Degree of Freedom

In statistics, it refers to the number of values in the final calculation of a statistic that are free to vary.

Group Means

The average values obtained from the data points of each group or category under examination in a study.

Statistical Significance

Indicating that the observed results are unlikely to occur by chance alone, according to a predetermined threshold of probability.

Null Hypothesis

The hypothesis that there is no significant difference between specified populations, any observed difference being due to sampling or experimental error.