Which of the following is not considered as normative accounting theory:

a. Capital market research related to stock prices

b. True income theory

c. Conceptual framework

d. Decision usefulness theory

If the CPI at the 1/1/2019 was 150, the average of the year was 155 and at 31/12/2019 is 160. The balance sheet has Common Stocks of $750,000. the amount should be represented of this item in Current purchasing power accounting is:

a. 703,125

b. 774,194

c. 800,000

d. $750,000

Political cost hypothesis of the PAT assumes that:

a. Large firms rather that small firms tend to decrease its accounting profit

b. large firms pay more attention into reported profit

c. no relation to the size of the firm to increase or decrease the profit

d. Large firms rather that small firms tend to increase its accounting profit