By selecting a sample of additions to property, plant, and equipment and then examining the related vendor invoices, the auditor is testing which of the following assertions for property, plant, and equipment?
A. Cutoff.
B. Completeness.
C. Occurrence.
D. Classification.
Answer: C
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A bank loaned Darden Company $10,000 on a 1-year, 6% note, but deducted the interest in advance. The journal entry made by Darden to record receipt of the cash would include a
a. an increase in Cash for $9,400 b. an increase in Cash for $600 c. a decrease in Notes Payable for $10,600 d. a decrease in Notes Payable for $9,400
Which of the following would not affect an auditor's judgment concerning internal controls?
a. The assertion being tested. b. The design of the control. c. The operation of the control. d. The level of inherent risk.
Which of the following is an advantage of management contracting?
A) It involves the fewest changes in a company's product lines. B) It allows a contracting firm to set up its own operations at the beginning of the contract. C) It is the simplest way to enter a foreign market. D) It yields income from the beginning of the contract. E) It gives a contracting firm an option to buy shares in the managed company immediately.
Currently, in the United States, job growth is the strongest for ________
A) blue collar workers B) manufacturing workers C) professional workers D) construction workers E) sanitation workers