Adam claimed that N & A, its accounting firm, negligently prepared an audit. To hold the accounting firm liable, which of the following elements must be established?
a. Scienter or guilty knowledge
b. A fiduciary relationship
c. Failure to exercise due care
d. An executed engagement letter
c
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An inventor for 3M, David Windorski questioned dozens of students about how they study. They told him
A. that the average backpack was already too heavy. B. to determine the ratio of 3M products to study aid products of other competitors. C. to make new products that have higher quality. D. that it would be reasonable to put Post-it Flags together with a highlighter. E. that Scotch tape had outgrown its usefulness to students.
A disadvantage of which of the following itemized rating scales is confusion and difficulty to application?
A) Likert scale B) semantic differential C) Stapel scale D) continuous rating scale E) random scales
A mother of two toddlers would primarily use an internal search of her prior experiences with products and brands when purchasing
A. disposable diapers. B. an iPhone. C. a gift for her babysitter. D. a weekend getaway. E. a swing set.
A company that uses the perpetual inventory system purchased 500 pallets of industrial soap for $10,000 and paid $750 for the freight-in. The company sold the whole lot to a supermarket chain for $14,000 on account. The company uses the specific-identification method of inventory costing. Which of the following entries correctly records the cost of goods sold?
A) Cost of Goods Sold 10,750 Merchandise Inventory 10,750 B) Merchandise Inventory 10,750 Cost of Goods Sold 10,750 C) Cost of Goods Sold 10,000 Sales Revenue 10,000 D) Cost of Goods Sold 10,000 Merchandise Inventory 10,000