When a Company Depends Heavily on One or a Few

question 28

True/False

When a company depends heavily on one or a few customer(s) for its business, this must be disclosed in the notes to the financial statements.

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Definitions:

Medicare

A federal health insurance program in the United States primarily for people who are 65 or older, along with certain younger people with disabilities.

Kickbacks

Illicit payments made in return for facilitating or securing business transactions or agreements.

U.S. v. Park

A landmark legal case where the U.S. Supreme Court held that a corporate officer could be held criminally liable for violations of the Federal Food, Drug, and Cosmetic Act.

Rodent Contamination

The presence of rodents or their droppings in a location, usually leading to health risks and requiring pest control measures.