Given a positive interest rate and a positive cash flow, an annuity due always has a greater present value than an ordinary annuity of the same size and number of cash flows
Indicate whether the statement is true or false.
Answer: TRUE
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The steps in effective service recovery are listening to the customer, providing a fair solution, and resolving the problem quickly.
Answer the following statement true (T) or false (F)
Which of the following applications of the rules of debit and credit is true?
A) decrease Prepaid Insurance with a credit and the normal balance is a credit B) increase Accounts Payable with a credit and the normal balance is a debit C) increase Supplies Expense with a debit and the normal balance is a debit D) decrease Cash with a debit and the normal balance is a credit
An individual is planning to establish a new corporation and is weighing the choice between the C corporation form and the S corporation form. She expects the corporation to be profitable each year, with all profits reinvested except to the extent needed to pay corporate taxes or shareholder taxes on profits. The shareholder's plan is to sell the business after six years for a substantial gain.
Factors to consider in modelling the entity choice include all of the following except A) the individual's ordinary income and capital gains tax rates. B) the shareholder's eligibility for the qualified business income deduction. C) the availability of the Sec. 1202 exclusion. D) all of the factors must be considered in the modelling.
Because of the risk of material misstatement due to improper management representations, an audit of financial statements in accordance with GAAS should be performed with:
A. Due diligence B. Professional skepticism C. Internal controls D. Objective judgment