Answer:
The correct answer is B. Accounting firms are prohibited from providing many types of consulting services to the companies they audit.
Explanation:
The main reason for this policy is that it does not allow conflicts of interest to arise that eventually produce widely known cases of fraud, such as those presented at the Enron and Worldcom companies.
The Enron case broke out in the U.S. when that energy giant announced what was once the biggest bankruptcy in the history of the country, with a debt of 31,000 million dollars, something overcome a few months later by the collapse of another colossus, WorldCom.
In June 2002 WorldCom, the second US telephone. and of the world, he admitted that he had lied in his accounting books for almost 4,000 million dollars and his actions - which shortly before touched his maximum of 16 dollars - collapsed to 20 cents. His bankruptcy exceeded Enron's: $ 35 billion of liabilities.
Answer:
budget slack.
Explanation:
A budget slack refers to a deliberate over estimation of expenses or under estimation of revenues. Either way, the person presenting the budget will try to lower their estimated profit or try to obtain more money for their department or division.
In this case, Karren is over estimating the expenses of her department. Probably she wishes to receive a larger amount of money in order to increase her department's activities. If she is able to pull it out, she will receive the credit for increasing sales, but if her department is not able to increase total sales even with a larger budget, it will be her responsibility.
B. Equity capital
C. Franchise
D. Liability
B) privatization
C) barter
D) the black market
Your answer is .... PRIVATIZATION.