According to the How Do We Know? Video in Section

question 21

Multiple Choice

According to the How Do We Know? video in section 2.5,what did Columbus do to persuade his crew to continue on with the voyage?

• A) appeal to their self-interest
• B) threaten to commit suicide
• C) throw a sailor overboard
• D) imprison anyone who spoke

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Definitions:

Fair-value Method

An accounting strategy used to measure and report assets and liabilities on the basis of estimated fair market prices.

Equity Method

An accounting technique used to record investments in associated companies, recognizing the investor's share of the investees' income.

Retrospective Change

An adjustment applied to prior period financial statements to correct an error or reflect a new accounting policy as if it had always been applied.

Goodwill

An intangible asset that represents the surplus value of a company beyond its physical assets and liabilities, often arising from factors such as brand reputation, customer relationships, or intellectual property during an acquisition.