Public Accountants Follow the Code of Ethics for Professional Conduct

question 101

Multiple Choice

Public accountants follow the code of ethics for professional conduct established by the

• A)Sarbanes-Oxley Act.
• B)Securities and Exchange Commission.
• C)Financial Accounting Standards Board.
• D)Congress of the United States.
• E)American Institute of Certified Public Accountants.

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Definitions:

Price-leadership Model

An economic concept where one or more dominant firms set their prices, and other, smaller firms in the industry then follow by setting the same or similar prices.

Dominant Firm

A company that holds a large portion of the market share within its industry, exerting significant influence or control over market conditions, including prices and product offerings.

Oligopoly

A market structure in which a small number of firms have the large majority of market share.

Cournot Model

An economic model used to describe an industry structure in which companies compete on the amount of output they will produce, which they decide independently of each other and at the same time.