Which of These Is Not One of the Ways AASB

question 16

Multiple Choice

Which of these is not one of the ways AASB 108 'Accounting Policies' deals with the choice of accounting methods?

• A) By establishing a hierarchy of authorities
• B) By specifying particular policies to be used in certain situations
• C) By specifying the qualitative characteristics that financial information should have
• D) None of the above, i.e., all are ways in which AASB 108 deals with the choice of accounting methods

Comprehend the effects of price ceilings and minimum wage laws on different market participants.

Analyze the consequences of changes in market supply and demand elasticity on surplus.

Interpret graphical representations of market models to identify areas representing consumer and producer surplus, as well as deadweight loss.

Understand the concept of deadweight loss and its occurrence due to market distortions.

---

Definitions:

Deceptive Advertising

Marketing practices that mislead or deceive consumers into believing something false or not providing the full truth about a product or service.

FTC

Stands for Federal Trade Commission, an independent agency of the United States government aimed at promoting consumer protection and the elimination and prevention of anticompetitive business practices.

Material Misrepresentations

False statements or omissions of significant facts that, if known, could influence the decision of the party to whom they are made.

European Union

A political and economic union of 27 member states that are located primarily in Europe, established to foster economic cooperation and has its own currency, the euro, used by 19 of its member states.