Which of These Is the Final Step in the Sound

question 29

Multiple Choice

Which of these is the final step in the sound ethical decision making in business?

• A) Define the ethical issues
• B) Gather the facts
• C) Identify the affected parties
• D) Check your gut

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Definitions:

Double-declining-balance Method

An accelerated depreciation method that doubles the normal depreciation rate, allowing for more depreciation expense in the earlier years of an asset's life.

Straight-line Method

A technique for determining the depreciation of an asset that presumes the asset depreciates by a consistent amount annually throughout its expected lifespan.

Net Income

The amount of earnings left over for a business after it has paid out all expenses, including taxes, interest, and operating expenses.

Correcting Entry

An entry made in accounting records to correct a mistake made in a previous recording.