Which of the following statements about sources of external standards for evaluating firm's performance is false?
A)Much of the information provided by investor services comes from firms' annual reports
B)Investor services often provide comparative ratios as well as other financial information
C)Investor services must follow SEC guidelines for reporting form and terminology used
D)All the information available to internal users is not provided by external sources

Question

Quizplus · Accepted Answer

Investor services, while they may adhere to general financial reporting standards, are not mandated by the SEC to follow specific guidelines for the form and terminology used in their reports. The SEC's regulations primarily apply to the companies themselves and how they report their financial information, not to third-party services that analyze or disseminate this information.

Which of the Following Statements About Sources of External Standards