Question 15 (1 point) Which of the following may be the result of direct or indirect economic and social consequences of a proposed accounting standard? 1) Increased lobbying to maximise the expected positive economic benefits from the standard 2) Increased lobbying to minimise the expected negative economic and social consequences from the standard 3) Impact on managerial decisions to optimise the reported numbers 4) All the given options are correct. Question 16 (1 point) Which of the following statements shows that Adam Smith advocated a regulatory approach? 1) Without regulatory involvement, productive resources will find their way to the most productive uses. 2) Leaving activities to the control of market mechanisms will protect market participants. 3) The government needs to be involved in the 'public interest' to protect the more vulnerable. 4) None of the given options are correct. Question 17 (1 point) Which of the following is true about theories in general? 1) Theories can include any coherent set of ideas or statements to explain, or provide guidance in respect of, certain phenomena. 2) Theories must be empirically based to describe what is, rather than what should be. 3) Theories must be based on inductive reasoning to provide a generalisation or prediction. 4) All of the given options are correct