When assets and income from operations that a firm has decided to discontinue (and dispose of or abandon), separating the two income components allows users to form better predictions of
a. past earnings.
b. current earnings.
c. future earnings.
d. all of the above
e. none of the above
C
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Shredding computer printouts is an example of an output control
Indicate whether the statement is true or false
The ________ states that an acceptance is effective when it is dispatched, even if it is lost in transmission
A) rule of silence as acceptance B) mirror image rule C) mailbox rule D) mutual assent rule
The Jack Company began its operations on January 1, 2016, and used the LIFO method of accounting for its inventory. On January 1, 2018, Jack Company adopted FIFO in accounting for its inventory. The following information is available regarding cost of goods sold for each method: ? LIFO Cost of FIFO Cost of Year Goods Sold Goods Sold 2016 $470,000 $350,000 2017 690,000 450,000 2018 700,000 540,000 Assuming a tax rate of 35% and the same accounting change adopted for tax purposes, how would the effect of the accounting change be reported in opening retained earnings on the 2018 financial statements?
A. +$360,000 restatement B. +$234,000 restatement C. -$700,000 restatement D. no restatement
Kent Weston wrote a check for $500 payable to the order of Chester Jones. Chester indorsed the back of the check as follows: "Chester Jones." The check is now
a. order paper. b. bearer paper. c. a cashier's check. d. special paper.