Question

Information in financial reports is based on _______ transactions.

• A. Personal
• B. Economic
• C. Credit
• D. All of the Above

Answer 1

Answer: (B)

Economic

The information relates to an individual business enterprise. The information often is the product of approximations and estimates, rather than exact measurements.

The financial statements typically reflect the financial effects of transactions and events that have already happened (i.e., historical). This means that all financial statements and other financial information required under the Loan Documents.

Economic Transaction means transfer of goods, the rendering of services (including saving and risk-taking), and transfer of money and other investments between residents of one country and residents of another country.