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Indicate whether the statement is true or false


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Which of the following may an auditor use as a defense under the Securities Act of 1933?

a. Contributory Negligence b. Scienter c. Due Care d. Immaterial loss

Business

On January 1, 20xx, Swenson Corporation had 40,000 shares of $10 par value common stock issued and outstanding. All 40,000 shares had been issued in a prior period at $20.00 per share. On February 1, 20xx, Swenson purchased 2,000 shares of treasury stock for $24 per share and later sold the treasury shares for $21 per share on March 1, 20xx. The journal entry to record the purchase of the

treasury shares on February 1, 20xx, would include a A) credit to Treasury Stock for $48,000. B) debit to Treasury Stock for $48,000. C) debit to a loss account for $6,000 D) credit to a gain account for $6,000.

Business

Which of the following statements is true of target pricing?

A) It starts with the price that customers are willing to pay. B) It uses the full product cost that a company estimates to arrive at the sales price. C) It does not consider the nonmanufacturing costs when calculating the target cost. D) It is the same as cost-based pricing.

Business

If either the principal or the agent petitions for bankruptcy, the agency is not usually terminated

Indicate whether the statement is true or false

Business