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ATPB413 T2 & 3

Authored by dasilah nawang

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ATPB413 T2 & 3
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6 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Deductive theories can be developed through deduction, that is, through reasoning from general statements to specific statements.

True

False

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Ethical approach emphasizes the social effects and general economic welfare on applying accounting techniques

True

False

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Below are the reasons for differences in shareholders’ and managers incentives EXCEPT:

Risk aversion

Monitoring risk

Dividend retention

Horizon problem

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Below are the hypotheses of Positive Accounting Theory (PAT) EXCEPT

Bonus Plan Hypothesis

Debt-Equity Hypothesis

Signaling Hypothesis

Political Cost Hypothesis

5.

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

Theories of Regulations Include:

i. Public interest theory

ii. Efficient market theory

iii. Private interest theory

iv. Regulatory capture theory

i, ii, iii

ii,iii, iv

i, iii, iv

i, ii, iv

6.

MULTIPLE CHOICE QUESTION

45 sec • 1 pt

Regulatory capture theory aims to benefit the public at first, but the aim will eventually fail because as time flews regulator are controlled by regulated party (firms or industries)

True

False

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