In maintaining and reporting its financial status,every corporation must ________.
A) conform to generally accepted accounting principles (GAAP)
B) purchase stocks on margin
C) use creative accounting practices
D) support increased stock prices

Question

Quizplus · Accepted Answer

Conforming to generally accepted accounting principles (GAAP) is a requirement for corporations to maintain accurate financial reporting. This helps ensure transparency and consistency in financial reporting across different entities. Purchasing stocks on margin, using creative accounting practices, and supporting increased stock prices are not requirements for maintaining and reporting financial status.

In Maintaining and Reporting Its Financial Status,every Corporation Must ________