Management Asserts That

question 38

Multiple Choice

Management asserts that

• A)the company has the right to the income of cash and investments
• B)all balances related to the investment account have been accurately recorded
• C)all cash and investment transactions that should be presented in the financial statements are included
• D)transactions related to the investment process have been recorded
• E)the investment accounts are valued correctly according to the rules of the applicable financial reporting framework at year-end
• F)both A and B
• G)both C and E
• H)both D and E

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Definitions:

Imaginary Audience

An aspect of adolescent egocentrism; the belief that other people are as concerned with our thoughts and behaviors as we are.

Adolescents

Individuals in the transitional stage of physical and psychological development that occurs between childhood and adulthood.

Object Permanence

Recognition that objects removed from sight still exist, as demonstrated in young children by continued pursuit.

Infants

Very young children, especially those under one year of age, characterized by rapid developmental changes.