For each test of transactions and each test of account balances for investments listed below, identify the assertion for which the test provides evidence.
1. Determine whether there has been any permanent impairment in the value of the cost basis of an individual security.
2. Inspect securities if they are maintained by the entity or obtain a confirmation from an independent custodian.
3. Search for purchases of securities by examining transactions for a few days after year-end.
4. Examine brokers' advices for a sample of securities purchased during the year.
1. Valuation and allocation.
2. Existence.
3. Completeness.
4. Rights and obligations.
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A nation's __________ is the shared set of beliefs, values, knowledge, and patterns of behavior common to its people.
A. economic policy B. culture C. social pattern D. demography E. political process
Moonlight Company wrote off the account of one of its customers, X, in 2018 for $500. On January 21, 2019, X unexpectedly repaid his account in full. The company uses the direct write-off method to account for uncollectible receivables. Journalize the entries required for Moonlight Company on January 21, 2019. Omit explanations.
What will be an ideal response?
When comparing the allowance method of accounting for bad debts with the direct write-off method, which of the following is true?
a. The direct write-off method is exact and also better illustrates the matching principle. b. The allowance method is less exact but it better illustrates the matching principle. c. The direct write-off method is theoretically superior. d. The direct write-off method requires two separate entries to write off an uncollectible account.
The information needs of retail managers are collected, organized, and stored on a continuous basis in _____
a. observation b. retail research c. an experiment d. a retail information system