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ALS Company changed from the percentage-of-completion method of accounting for long-term contracts to the completed-contract method, which is the method used for tax purposes. The entry to record this change on very profitable long-term contracts should include which of the following?
Leon owns all six hundred (600) shares of the outstanding stock of Crane Corporation (Earnings And Profits (E&P) of $1,000,000). Leon had acquired the stock ten (10) years ago for $450,000.
What is data redundancy? We know that the normalization breaks up large tables into smaller more manageable tables.
An important element of evaluating leases is determining whether substantially all of the risk and rewards of ownership are transferred in the lease. How os "Substantially all" defined in the authoritative literature?
Review SOX mandates, and determine what protections are currently in place to protect whistle-blowers. Take a position on whether more employees would be willing to blow the whistle on corporate misbehavior due to the provisions for whistle-blower..
The company requires a minimum pretax return of 15% on all investment projects. The net present value of the proposed project is closest to:
In business, there is a tension between the principals (stockholders) and agents (managers). The managers may choose policies that increase short-term profitability (and their bonuses) at the expense of long-term profitability.
How should internal auditors help, if at all, with forensic accounting investigations?
Explain how the lack of an ongoing accounts payable system will affect the auditor tests for the purchases and payables cycle. Your answer should also identify assertions and account balances affected.
In August, Gold Company sold 770 units of their only product. For the month, fixed costs were $10,400, variable costs were 57% of sales, and the average sales price was $62.
What are cheverolets 4 main financial statements? Can you show them on a flow chart? What are the expenses and revenues in the Chevy business?
Page Company is contemplating the acquisition of a machine that costs $50,000 and promises to reduce annual cash operating costs by $11,000 over each of the next six years.
On August 31, a 10% stock dividend was declared and distributed. What is the balance in Common Stock appearing on the statement of stockholders' equity on December 31?
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