Case precedent is reviewed even when case facts are not identical

Indicate whether the statement is true or false


True

Business

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The direct write-off method is

a. acceptable for financial reporting purposes. b. required for income tax purposes. c. acceptable for auditing purposes. d. required by generally accepted accounting principles.

Business

Indirect expenses are allocated to departments based on

a. generally accepted accounting principles. b. some reasonable basis. c. directives from the board of directors. d. decisions of the stockholders.

Business

Return measures of performance are valid indicators of financial health

Indicate whether the statement is true or false

Business

Year-to-date earnings for Reggie total $105,100 . The maximum earnings for Social Security is $106,800 . Current period earnings are $3,000 . The amount of current earnings subject to Social Security is

a. $105,100; b. $106,800; c. $3,000; d. $1,700; e. none of these

Business