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As an auditor, what areas would be of interest to you if you discovered during the planning stages of the audit that management and employee bonuses were directly tied to the profitability of the company? What are the two risks that an auditor should consider in every audit that is performed related to the risk of material misstatement due to fraud?
Prepare the income statement for the second year ). What information should be on the income statement if we cannot get the certainty condition?
On April 1, 2007 when the machine has a market value of 27,500, it is exchanged for a machine with a fair value of 135,000 and the proper amount of cash is paid. The exchange lacked commercial substance.
Rosa owns 30% of Pine Corporation's stock (basis of $50,000), and the other 70% was recently purchased by Arvid (basis of $620,000). Pine enters into a reorganization with Lodgepole Corporation.
Preppy Co. makes and sells a single product. The current selling price is $30 per unit. Variable costs are $21 per unit, and fixed expenses total $90,000 per month. Sales volume for July totaled 12,000 units.
usaco a domestic corporation owns all of the stock of fsubco a foreign corporation. fsubco manufactures widgets and
presented below and on the next page are the ?nancial statements of rajesh company. rajesh company comparative balance
Assuming that the company uses the percentage of receivables allowance method, prepare the adjusting entry on December 31, 2001, to recognize bad debts expense.
Prepare a classified year-end balance sheet. (Note: A $22,000 installment on the long-term note payable is due within one year.)
Over the last two years, Ed had spent nearly $600,000 in attorney fees. Ed had even offered his brother-in-law 50% of the winnings. How and where would you deduct the attorney fees?
Actual overhead costs for the year were $240,000. Lasso's plant-wide allocation base, machine hours, was budgeted at 50,000 hours. Actual machine hours were 40,000. Budgeted units to be produced are 100,000 units. Lasso's plant-wide factory overhe..
you are the manager of an accounting department and would like to hire another managerial accountant to focus on
what is the best way to handle manufacturing overhead costs in order to get the most timely job cost information? a.
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