Under the indirect method decrease in accrued liabilities is:
a. is added to the net income to arrive at net cash provided by operating activities.
b. is subtracted from the net income to arrive at net cash provided by investing activities.
c. is subtracted from the net income to arrive at net cash provided by operating activities.
d. is added to the net income to arrive at net cash provided by investing activities.
c
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Which of the following control activities may prevent the failure to bill customers for some shipments?
A. Each shipment should be supported by a prenumbered sales invoice that is accounted for. B. Each sales invoice should be supported by a shipping document. C. Sales journal entries should be reconciled to daily sales summaries. D. Each sales order should be approved by authorized personnel.
An auditor typically indicates in the engagement letter that the audit will result in an unqualified report on the financial statements
a. True b. False Indicate whether the statement is true or false
In most states, arson includes the burning of one's own property to collect insurance proceeds
Indicate whether the statement is true or false
The Omega Company is thinking of buying computers for all its work stations. It wants to test them for 30 days before agreeing to buy. The supplier, Dall Computers, agrees to this arrangement
Omega still has the computers after 40 days and has not said what is going to do. Who now owns the computers? Why? A) Omega. There was a contract between Omega and Dall, and ownership transferred to the purchaser as soon as the contract was made. B) Dall. Ownership does not transfer to the purchaser until the price has been determined. C) Dall. Ownership doesn't transfer to the purchaser in a sale on approval until he signifies his approval. D) Omega. Ownership transferred because it kept the goods after the time fixed for returning them. E) Since the contract was silent on when ownership transferred, the contract is void.