According to the Resource Dependence Perspective, the effectiveness of an organization should be understood in terms of how well it meets the demands of internal groups and organizations that are concerned with its actions and products

For a given change in interest rates, fixed-rate liabilities with longer-term maturities will have smaller changes in price than liabilities with shorter maturities.

a. true b. false

Inherent risk is best defined as:

a) The risks that remains after management executes its risk responses. b) The internal and external risks that exist assuming there are no internal controls in place. c) The amount of risk an organization is willing to accept in pursuit of its business objectives. d) The risk that material error exists in the financial statements after the audit.