List three different ways that a tax return may be selected for an audit
Any of the following will suffice:
1 . By the Discriminant Function (DIF) System (i.e., computerized statistical sampling technique
2 . Apparent reporting errors on the face of the return
3 . By an informant
4 . Through other governmental agencies (i.e., matching program)
5 . News items
6 . Associated tax returns
7 . Special audit research program (i.e., sampling to test and encourage correct reporting)
8 . Taxpayer-initiated action such as claim for refund
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When input prices are increasing, companies that use the LIFO method of accounting for inventory will report
a. Lower cost of goods sold amounts in comparison to the FIFO method b. Higher sales amounts in comparison to the FIFO method c. Higher ending inventory amounts in comparison to the FIFO method d. Lower gross profit margins in comparison to the FIFO method
Web-based demonstrations can be an effective way to present when it is:
A) imperative that a customer see a full product demonstration B) important to meet face-to-face C) important to impress the buyer with technology D) necessary to provide factual data and research E) impossible or expensive to present in person
“Why on earth do some countries function in non-democratic ways, especially not allowing the right for all adults to vote?” This statement is an example of ______.
A. multicultural competence B. diversity C. egalitarianism D. ethnocentrism
Owens Jewelers uses the perpetual inventory system. On April 2, Owens sold merchandise with a cost of $2,500 for $7,000 to a customer on account with terms of 2/15, n/30. Which of the following journal entries correctly records the sales revenue?
A) Sales Revenue 7,000 Accounts Receivable 7,000 B) Sales Revenue 7,000 Cost of Goods Sold 7,000 C) Accounts Receivable 2,500 Sales Revenue 2,500 D) Accounts Receivable 7,000 Sales Revenue 7,000