Under the Wherewithal to Pay concept, income should be recognized and a tax paid on the income when the taxpayer has the resources to pay the tax
a. True
b. False
Indicate whether the statement is true or false
True
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The buyer must include goods purchased FOB shipping point in its inventory account if the goods are still in transit
a. True b. False Indicate whether the statement is true or false
The post reference notation used in the journal is the page number
Indicate whether the statement is true or false
Which of the following is included in the internal control procedure—documents?
A) Mandatory vacations will improve internal control. B) Separate the custody of assets from accounting. C) The invoices and orders must be pre-numbered. D) A company should purchase a fireproof vault to protect legal documents.
Which of the following statements is not true of the separation of powers within the three functional branches of government?
a. Power is distributed among the three branches of government. b. Separate powers of the respective branches are exclusive and not shared. c. This governmental structure restrains the natural tendency to expand granted power. d. Each branch checks the other two.