When proofreading, a reader should look for mistakes in design and layout in addition to production errors
Indicate whether the statement is true or false.
Answer: TRUE
Explanation: Look for two types of problems: (1) undetected mistakes from the writing, design, and layout stages and (2) mistakes that crept in during production.
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When forming an opinion on special purpose financial statements, the auditor should evaluate whether the financial statements include a summary of significant accounting policies
a. True b. False Indicate whether the statement is true or false
What is buyer power?
A. High when it is easy for new competitors to enter a market and low when there are significant entry barriers to joining a market. B. High when there are many alternatives to a product or service and low when there are few alternatives from which to choose. C. The suppliers' ability to influence the prices they charge for supplies (including materials, labor, and services). D. The ability of buyers to affect the price they must pay for an item.
Describe the different stages of financing.
What will be an ideal response?
Wally and Janice are both managers in a small corporation set up to manufacture sporting goods. They both receive bonuses for any ideas that benefit the company, although Janice's bonus is computed at a lower rate than Wally's because she has been at the company a shorter amount of time. Janice has a great marketing idea that would result in her receiving a bonus of $1,000 . She has it all worked
out on her computer. Unknown to her, one evening after business hours, Wally obtains the information from her computer and submits it himself the next day. He is immediately awarded a bonus of $2,000 for the information. Fortunately for Janice, Sally, a custodian, saw Wally in Janice's office and heard him calling his wife while he was there to brag about his misdoings. Sally informed Blaire, the CEO, of Wally's actions. Which of the following types of justice is involved if Blaire requires that Wally give Janice the entire $2,000 bonus he received? a. Compensatory b. Retributive c. Fair d. Justifiable