People with _____________ tend to possess the skills and capacity to generate ideas.
a. Emotional intelligence
b. Creative potential
c. Cognitive dissonance
d. Superleaderism
b. Creative potential
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________ are intangible and represent formulated thoughts or opinions, whereas ________ are intangible products that cannot be touched, weighed, or measured.
A. products; services B. ideas; products C. ideas; services D. services; products E. products; ideas
In assessing control risk for purchases, an auditor vouches a sample of entries in the voucher register to the supporting documents. Which assertion would this test of controls most likely support?
A. Classification. B. Occurrence. C. Completeness. D. Accuracy.
During 2016, Penny Co had net income of $200,000 including after-tax interest expense of $30,000 on convertible bonds. The $300,000 face value of convertible bonds can be converted into common stock at the rate of 300 shares per $1,000 bond. Prior to the conversion, there were 400,000 shares of common stock outstanding. What is the amount of fully diluted earnings per share?
A) $0.500 B) $0.469 C) $0.408 D) not determinable because the bonds are not dilutive
Which of the following will an auditor not perform when looking for debt reductions?
a. Examine proceeds into the cash receipts records. b. Examine canceled checks. c. Examine payments through the cash disbursements records. d. Examine canceled notes.