Which of the Following Statements Concerning Accounting Standards Is Incorrect

question 42

Multiple Choice

Which of the following statements concerning accounting standards is incorrect?

• A) Accounting standards only apply to companies.
• B) Accounting standards guide the preparation of reliable financial reports.
• C) Accounting standards evolve with changes in business requirements.
• D) Accounting standards improve the comparability of financial reports.

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Definitions:

Securities And Exchange Commission

A U.S. government agency responsible for enforcing federal securities laws and regulating the securities industry.

Insider Trading

The buying or selling of a publicly-traded company's stock by someone who has non-public, material information about the stock.

Guaranteeing Personal Freedoms

The act or legal measures designed to protect individuals’ rights and liberties against infringement or oppression.

Crawling

A form of locomotion achieved by moving on hands and knees or hands and feet, typically seen as a developmental milestone in infants.