Which Statement Concerning the Statement of Financial Position and the Requirements

question 10

Multiple Choice

Which statement concerning the statement of financial position and the requirements of the Corporations Act is not true?

• A) The Act requires the statement of financial position to present a 'true and fair view' of the entity's financial position
• B) The Act states that if the financial statement would not give a true and fair view, additional information must be included in the notes to the statements in order to provide that view
• C) True and fair view is defined in the Act to mean in accordance with generally accepted accounting standards
• D) None of the above, i.e., all of the statements are true

---

Definitions:

Negative Reinforcement

A behavioral principle where the removal of an unfavorable condition strengthens a behavior.

Behaviour Occurring

The manifestation of actions or reactions of an individual in specific situations.

Extinction

In behavioral psychology, the gradual decrease and eventual disappearance of a conditioned response after the reinforcement is no longer provided.

Punishment

The imposition of a penalty or negative consequence following an undesirable behavior, aimed at reducing that behavior.