Of the Following Objectives of Financial Reporting,which Is the Most

question 32

Multiple Choice

Of the following objectives of financial reporting,which is the most specific?

• A)Provide information useful in assessing amount,timing,and uncertainty of future cash flows.
• B)Provide information useful in making investment and credit decisions.
• C)Provide information about economic resources,claims to resources,and changes in resources and claims.
• D)Provide information useful to help the enterprise achieve its goals,objectives,and mission.

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Definitions:

Cognitive Dissonance Theory

A theory that suggests an uncomfortable tension arises from holding contradictory cognitions (e.g., beliefs, attitudes) simultaneously, leading to efforts to reduce the dissonance.

Hypocrites

Hypocrites are individuals who claim to have moral beliefs, standards, or virtues that their own behavior does not conform to; their actions contradict their stated beliefs or values.

Attitudes

A settled way of thinking or feeling about something, typically reflected in a person's behavior or expressed beliefs.

Effort Justification

The cognitive dissonance reduction mechanism where individuals attribute a higher value to an outcome they had to put effort into achieving, regardless of the actual value.