Management''s statement of responsibility, Managerial Accounting

Assignment Help:

1. A firm's independent auditors have the responsibility to:

a. assess the firm's accounting policies.

b. ascertain the firm's profit potential.

c. uncover all fraudulent activities.

2. A firm's cash dividends were $3.96 per share of common stock for calendar 2008. In 2009 the stock was split 3 for 1, and in 2010 a 10% stock dividend was issued. Dividends per share for 2008, to be reported in the firm's annual report for 2010, are:
a. $3.96
b. $1.32
c. $1.20

3. Business segment information is included in the explanatory notes to financial statements because:
a. the amounts shown on the financial statements of most companies are just too large to comprehend.
b. current and potential investors can make more informed judgments about the company.
c. net income from various geographic areas can be clearly determined.

4. For 2008, Skresso Co. reported $3.64 of earnings per share of common stock. During 2009 the firm had a 4% common stock dividend. 2008 earnings per share to be reported in the annual report for 2009 are:
a. $3.64
b. $3.50
c. $3.49

5. Management's statement of responsibility:
a. usually refers to the company's system of internal controls.
b. emphasizes that the auditors are responsible for the financial statements.
c. gives the president of the company an opportunity to explain why profits changed.

 


Related Discussions:- Management''s statement of responsibility

What are the features of zero base budgeting, What are the Features of zero...

What are the Features of zero base budgeting 1) Manager of a decision unit has to completely justify why there should be at all any budget allotment for his derision unit. This

Imposed budgets- budgetary styles, Imposed Budgets In this approach to ...

Imposed Budgets In this approach to budgeting, top management prepares a budget with little or no help from operating personnel, which is then obligatory upon the employees who

Determine the benefit of product life cycle costing, Benefit of product lif...

Benefit of product life cycle costing The benefits of product life cycle costing are summarized as follows: 1) The product life cycle costing results in earlier actions to g

Chicken and hawk game, Chicken and Hawk (dove game) Two players meet at...

Chicken and Hawk (dove game) Two players meet at a one-lane bridge and each must choose whether to cross first or wait for the other. If both play Tough (T), they crash in the

Inappropriate standards-implementation breakdown, Inappropriate standards (...

Inappropriate standards (or targets): This is a problem arising from deficiencies in planning. If not enough time and resources are devoted to setting accurate standards in th

Chapter 3, Cretin Enterprises uses a predetermined overhead rate of $21.40 ...

Cretin Enterprises uses a predetermined overhead rate of $21.40 per direct labor-hour. This predetermined rate was based on a cost formula that estimated $171,200 of total manufact

Ratio analysis, Have lot of questions please any one help me

Have lot of questions please any one help me

Periodic system and a perpetual system, Your manager has informed you that ...

Your manager has informed you that the company is trying to determine if it should use a periodic system or a perpetual system in accounting for the inventory. He wants you to spea

Application of transportation model, Application of Transportation Model ...

Application of Transportation Model In the direct logic, the transportation model looks for the determination of a transportation plan of a particular commodity from a number o

Make or buy decisions under limiting factors, MAKE OR BUY DECISIONS UNDER L...

MAKE OR BUY DECISIONS UNDER LIMITING FACTORS One reason for buying products/services from another organisation is the scarcity of resources, so that the company may be unable t

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd