Which of the following represents one of the purposes of the notes to financial statements?

a. To provide a place for management to justify questionable items in the statements
b. To provide comparative ratios for the company's financial data
c. To provide the CPA's opinion of the fairness of the financial statements
d. To satisfy the need for full disclosure of all the facts relevant to a company's results and financial position


d

Business

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An auditor would consider internal control over an entity's payroll procedures to be ineffective if the payroll department supervisor is responsible for:

A. updating employee earnings records. B. having custody over unclaimed paychecks. C. hiring subordinate payroll department employees. D. applying pay rates to time tickets.

Business

Exchange rates for currency change daily according to the supply and demand for each currency

Indicate whether the statement is true or false

Business

For mutual rescission of a contract to take place, the parties must make another agreement that satisfies the legal requirements for a contract.

Answer the following statement true (T) or false (F)

Business

The objective-and-task method of setting a promotion budget is the most logical method because it forces management to articulate its assumptions about the relationship between dollars spent and promotion results

Indicate whether the statement is true or false

Business