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AH

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What actions does the Federal Trade Commission have the power to implement when dealing with deceptive or misleading advertising and unfair business practices?

On Jun 18, 2024


Promotion and advertising are aspects of marketing closely monitored by the Federal Trade Commission (FTC), which was established by the FTC Act of 1914. The FTC has been concerned with deceptive or misleading advertising and unfair business practices and has the power to (1) issue cease and desist orders and (2) order corrective advertising. In issuing a cease and desist order, the FTC orders a company to stop practices the commission considers unfair. With corrective advertising, the FTC can require a company to spend money on advertising to correct previous misleading ads. The enforcement powers of the FTC are so significant that often just an indication of concern from the commission can cause companies to revise their promotion.
AH

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Cindy sold her old used automobile to Bruce for $1,000.Cindy told Bruce to come and take the car and that the transfer would be complete.Is Cindy correct,and why or why not?

On Jun 18, 2024


Cindy is incorrect.In order to transfer a vehicle,a certificate of title must be signed by the seller,taken to the appropriate government agency,and then reissued in the name of the new owner.
AH

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Explain why percentage of ownership an investor has in an investee is not the only consideration when determining which entities must create financial statements.

On Jun 14, 2024


This determination depends largely on the extent to which the investor entity can direct the key relevant activities of the investee.In the case where the investor can 'control' the investee,then for accounting purposes the treatment is as two separate entities as though they were one 'economic entity' and the preparation one set of financial statements for the economic entity,often called the 'group' financial statements,is appropriate.