In a consolidated financial statement:
a. the parent consolidates with a subsidiary.
b. the parent does not consolidate with a subsidiary unless it is 100% owned.
c. the cash basis is required.
d. only the equity sections of the financial statements are consolidated.
a
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During a review of the financial statements of a nonpublic entity, the CPA finds that the financial statements contain a material departure from generally accepted accounting principles. If management refuses to correct the problem, the CPA should:
A. disclose the departure in a separate paragraph of the report. B. attach a footnote explaining the effects of the departure. C. issue a compilation report. D. issue an adverse opinion.
Refer to the scenario above. How many workers must be added to increase the output rate to one unit per minute?
A) 1 B) 2 C) 3 D) 4
Which of the following statements is false concerning the hypothesis testing procedure for a regression model?
A) The F-test statistic is used. B) The null hypothesis is that the true slope coefficient is equal to zero. C) The null hypothesis is rejected if the adjusted r2 is above the critical value. D) An ? level must be selected. E) The alternative hypothesis is that the true slope coefficient is not equal to zero.
Which philosopher developed the "greatest happiness principle"?
a. Immanuel Kant b. Adam Smith c. John Stuart Mill d. Jeremy Bentham