The risk assessment component of internal control refers to:
A. The entity's monitoring of the potential for material misstatements.
B. The auditor's assessment of control risk.
C. The auditor's assessment of client risk.
D. The entity's identification and analysis of risks relevant to achievement of its objectives.
Answer: D
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Which of the following is true of a seller's right to dispose of goods from a breach of contract?
A) Any profit made on the resale or release of the goods has to be shared with the original buyer. B) Incidental charges can be recovered from the original buyer. C) The seller cannot resell the goods unless the original buyer agrees to it. D) The buyer can only dispose of goods that have already been delivered.
Increasing liberalization in the Chinese economy has prompted a large improvement in the country's Global Retail Development Index (GRDI).
Answer the following statement true (T) or false (F)
Three workers complete a full 8-hour day finishing concrete for a terrace. All three workers are paid $12 an hour and the job bills to the customer for $450. What are the total direct labor costs?
A) $450 B) $12 C) $288 D) $96
Sensitivity analysis shows how the distribution of possible net present values is affected by a change in one input variable
Indicate whether this statement is true or false.