Using common-size financial statements:
a. is a very effective way to search for fraud symptoms related to changes in account balances.
b. is a process whereby financial statements are converted to various financial ratios for easy analysis.
c. allows a fraud examiner to definitively conclude that management is committing financial statement fraud.
d. allows comparisons between companies in the same industry to highlight variations in performance.
d
You might also like to view...
Which of the following practices by management is NOT prohibited by law?
A. Discipline or discharge of employees for pro-union activities B. Using company time and premises to stress the disadvantages of unionization C. Interference with employees involved with an organizing drive D. Physical interference, threats, or violent behavior toward union organizers
Which of the following is tangible real property?
a. Corn harvested and stored in a grain bin. b. The mortgage on an office building. c. A copyright. d. The freight elevator in an office building.
Use the Gantt chart and the activity list to determine which resource is free for use in another project before the others
Activity Resources Activity Resources A 1 F 2 B 3 G 3 C 4 H 4 D 2 J 5 E 2 K 1 A) Resource 4 B) Resource 3 C) Resource 1 D) Resource 2
A classification of costs that determines whether a cost is expensed to the income statement or capitalized to inventory is:
A. Direct versus indirect. B. Product versus period. C. Financial versus managerial. D. Fixed versus variable. E. Service versus manufacturing.