Which of the Following Is Not a Reason Why Traditional

Multiple Choice

Which of the following is not a reason why traditional financial accounting may be unable to reflect the social and environmental impact of organisations?

A) The social and environmental impact of an organisation cannot be verified.
B) The social and environmental impact of an organisation is often considered immaterial.
C) Traditional financial accounting ignores the diminution of assets which are not controlled by the entity.
D) Traditional financial accounting may categorise items such as pollution permits as assets.