In the context of poka-yoke, _____ errors result from the task, treatment, or tangibles of the service
a. server
b. process
c. cumulative
d. common
a
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If the auditor is testing the reasonableness of depreciation expense for the year, which assertion is being tested?
a. Completeness. b. Rights and Obligations. c. Existence. d. Valuation
This year, Ferro Inc. generated sales of $10 million. Its fixed operating cost is $1 million and its variable cost ratio is 30 percent of sales. Ferro has $60 million of debt outstanding with a before-tax cost of 12 percent. Which of the following statements about Ferro's times interest earned (TIE) ratio is correct?
A. Ferro's TIE ratio is 1.20, which suggests it has enough earnings to meet the required interest payments. B. Ferro's TIE ratio is 0.83, which suggests it does not have enough earnings to meet the required interest payments. C. Ferro's TIE ratio is 0.83, which suggests it has enough earnings to meet the required interest payments. D. Ferro's TIE ratio is 1.39, which suggests it does not have enough earnings to meet the required interest payments. E. Ferro's TIE ratio is 1.00, which suggests it has just enough earnings to meet the required interest payments.
Sarah purchased a Personal Auto Policy with liability limits of 50/100/25. Sarah ran a stop sign and hit a van. The van sustained $15,000 in damages
The following bodily injuries were suffered by passengers in the van: Passenger #1, $15,000; Passenger #2, $60,000; and Passenger #3, $10,000. Sarah sustained $5,000 in medical expenses, and Sarah's car sustained $10,000 in damages. How much will Sarah's insurer pay under Part A: Liability Coverage? A) $90,000 B) $100,000 C) $115,000 D) $125,000
Indirect loss coverage (business income insurance) will cover all the following except:
A) lost profits B) continuing expenses C) income taxes on lost profits D) extra expenses incurred to maintain operations after a loss