GASB Concepts Statement No

question 143

Multiple Choice

GASB Concepts Statement No. 3, defines methods of presenting information in financial reports. Concepts Statement No. 3 states that:

• A) notes to the financial statements may not include management's objective explanations.
• B) required supplementary information should be objective but may also include predictions or subjective assessments if management deems it necessary for understanding of the financial statements.
• C) disclosure in the notes is not an adequate substitute for recognition in the financial statements.
• D) All of the above are correct.

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Definitions:

Diet

The combination of foods and beverages consumed by an individual, which can influence health and wellness.

Emulsify Fats

The process of breaking down fats into smaller droplets, typically by the action of bile, to aid in digestion.

Bile

A digestive fluid produced by the liver and stored in the gallbladder, which helps in the digestion of fats.

Peristalsis

A series of wave-like muscle contractions that move food through the digestive tract.