Why Has the Reputation of U

question 13

Multiple Choice

Why has the reputation of U.S. accounting standards decreased in recent years?

• A)The U.S. deficit is at a record high.
• B)Many U.S. businesses have declared bankruptcy.
• C)There have been some notable American accounting scandals, such as Enron.
• D)Lengthy prison sentences have been given to unethical American executives, such as Bernie Madoff.

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Definitions:

Existing Bonds

Bonds that have already been issued and are currently traded in the bond market.

Required

Necessary or needed for a particular purpose or result.

Catalysts

Substances that increase the rate of a chemical reaction without being consumed in the process.

Induced Fit

Conformational change in the active site of an enzyme that occurs when it binds to its substrate.