Based on Table 9-2, Subjective Judgment makes what presupposition about external financial reporting?
a. All conceptual frameworks are based on a human perspective, and therefore are socially constructed.
b. The financial statements are independent of the actual items they represent.
c. The accountants' ability to make valid judgments about the economic reality of the financial statements is influenced by cultural, economic, political and psychological factors.
d. Information and knowledge is epistemologically objective only to the point where society can agree.
C
You might also like to view...
This best describes the commitment a 1960s-era company made with respect to an employee's full-time, full-benefit job
A) It was a permanent job that could last a lifetime. B) It was a month-to-month arrangement. C) It was subject to change at any time. D) There was no commitment on the part of the company or the employee.
Knollwood Corporation issued $278,000 of 30-year, 8 percent bonds at 106 on one of its semiannual interest dates. The straight-line method of amortization is to be used. After 11 years, what is the carrying value of the bonds?
A) $286,340 B) $286,896 C) $284,950 D) $288,564