Under IFRS, the Role of the Conceptual Framework

question 126

Multiple Choice

Under IFRS, the role of the conceptual framework:

• A) Primarily involves guiding standard setters to make sure that standards are consistent with each other.
• B) Includes serving as a guide for practitioners when a specific standard does not apply.
• C) Is less important than in U.S. GAAP.
• D) Has resulted primarily from a convergence with U.S. GAAP.

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Definitions:

Incentive Motivation

The idea that the level of motivation is affected by magnitude of reward: The greater the reward magnitude, the higher the motivation to obtain that reward.

Internal Arousal

The physiological and psychological state of being alert and engaged, often as a response to external stimuli or internal thoughts.

Hull's Model

A theoretical framework by Clark Hull that describes behavior as the result of internal drives, habits, and the outcomes of previous actions.

Associative Approach

A learning theory emphasizing the formation of associations between stimuli and responses.