The purchase of equipment financed by a long-term notes payable is an example of ________.
A) investing activity
B) financing activity
C) operating activity
D) non-cash investing and financing activity
D) non-cash investing and financing activity
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All intangible assets should be amortized
a. True b. False Indicate whether the statement is true or false
It is likely in the acquisition and payment cycle that audit evidence from substantive analytical procedures alone will be sufficient enough for the auditor
a. True b. False Indicate whether the statement is true or false
Variance analysis includes all of the following except
A) taking corrective action. B) investigating all significant and insignificant variances. C) developing performance measures to track activities causing the variance. D) computing variances.
Which of the following statements is CORRECT?
A. For mutually exclusive projects with normal cash flows, the NPV and MIRR methods can never conflict, but their results could conflict with the discounted payback and the regular IRR methods. B. Multiple IRRs can exist, but not multiple MIRRs. This is one reason some people favor the MIRR over the regular IRR. C. If a firm uses the discounted payback method with a required payback of 4 years, then it will accept more projects than if it used a regular payback of 4 years. D. The percentage difference between the MIRR and the IRR is equal to the project's cost of capital. E. The NPV, IRR, MIRR, and discounted payback (using a payback requirement of 3 years or less) methods always lead to the same accept/reject decisions for independent projects.