Which of the following factors should be considered in determining whether an activity is treated as an appropriate economic unit?
A)The similarities and differences in types of business.
B)The extent of common control.
C)The extent of common ownership.
D)The geographic location.
E)All of these.

Question

Quizplus · Accepted Answer

All of these factors should be considered in determining whether an activity is treated as an appropriate economic unit. The similarities and differences in types of business, the extent of common control, the extent of common ownership, and the geographic location are all important factors in determining whether an activity should be treated as a separate economic unit for financial reporting purposes.

Which of the Following Factors Should Be Considered in Determining