Which of These Definitions Is NOT Correct

question 2

Multiple Choice

Which of these definitions is NOT correct?

• A)SIGNIFICANT INFLUENCE: the power to participate in the financial and operating policy decisions of the investee,but without control or joint control.
• B)ASSOCIATE: an entity which is not a subsidiary or joint venture of the investor,but where they hold significant influence has significant influence.
• C)EQUITY METHOD OF ACCOUNTING: the investors share of the profit and loss of investee is not included.
• D)EQUITY METHOD OF ACCOUNTING: investments initially recognized at cost,and adjusted thereafter for post- acquisition changes in the investors share

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Definitions:

Traditional

Pertaining to long-established customs, beliefs, or methods that are passed down from generation to generation.

Exploitation

The act of unfairly using someone or something for one's own advantage, often economically or socially.

Exploration

Refers to the act of investigating, studying, or examining unknown areas and ideas to gain new knowledge or insight.

Implementation

The act of putting a decision or plan into effect; executing or enacting a procedure or program.