Which of the Following Does Whittington (2008)see as a Main

question 18

Multiple Choice

Which of the following does Whittington (2008) see as a main feature of the fair value view?

• A)Stewardship,defined as accountability to present shareholders,is a distinct objective,ranking equally with decision usefulness.
• B)Reliability is less important and is better replaced by representational faithfulness,which implies a greater concern for capturing economic substance,and less with statistical accuracy.
• C)Present shareholders of the holding company have a special status as users of financial statements.
• D)Future cash flows may be endogenous: feedback from shareholders and markets in response to accounting reports may influence management decisions.

---

Definitions:

Mentally Incompetent

A legal status indicating that an individual is not capable of making decisions for themselves due to mental incapacity or illness.

Breach of Contract

The failure to perform as specified in a contract without a legitimate legal excuse.

RLLP

A Registered Limited Liability Partnership, a form of partnership that offers some partners limited liability regarding the partnership's debts and obligations.

Collateralize

The act of using an asset as security for a loan, ensuring the lender can seize the asset if the borrower defaults.