The Major Difference Between IFRS and GAAP Is That U

question 21

Multiple Choice

The major difference between IFRS and GAAP is that U.S. standards are ________ and IFRS standards are ________.

• A) strictly enforced; weakly enforced
• B) rules-based; principles-based
• C) evolutionary; devolutionary
• D) based on government standards; based on corporate practice

---

Definitions:

Income

The financial gain earned or received over a period of time, typically through employment, investments, or business operations.

Flow Measure

A term used in economics to describe a quantity measured over a specified period of time, such as income per month or spending per year.

Quantity Demanded

The total number of units of a product or service that purchasers are eager and capable of procuring at a designated price level.

Hard Drives

Storage devices used in computers and servers to store data persistently.