Which of the following procedures is not appropriate for examining or reviewing pro forma financial information?
a. Obtaining less evidence in an examination engagement than in a review engagement.
b. Obtaining an understanding of the underlying transaction or event.
c. Discussing management's assumptions regarding the effects of the transaction or event.
d. Evaluating whether pro forma adjustments are completely recorded.
a
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In a job-order system, the subsidiary ledger for finished goods is composed of job cost records for all ordered, uncompleted, and completed jobs
Indicate whether the statement is true or false
Bluebird Inc requires all capital investments to generate an internal rate of return of 14%. Bluebird is currently considering an investment that is expected to generate annual cash inflows of $12,000 for 5 years. The cost of the investment should not exceed:
A) $60,000. B) $41,197. C) $31,164. D) $6,233.
Answer the following statement(s) true (T) or false (F)
Entrepreneurs are doers, not thinkers.
Thomas Inc. had the following stockholders' equity accounts as of January 1, 2018: Preferred stock - $90 par value, nonvoting and nonparticipating; 9% cumulative dividend$2,700,000 Common stock - $25 par value 5,600,000 Retained earnings 14,000,000 ??Kuried Co. acquired all of the voting common stock of Thomas on January 1, 2018, for $20,656,000. The preferred stock remained in the hands of outside parties and had a fair value of $3,060,000. A database valued at $656,000 was recognized and amortized over five years. During 2018, Thomas reported earning $630,000 in net income and paid $504,000 in total cash dividends. Kuried used the equity method to account for this investment.?What is the controlling interest share of Thomas' net income for the year ended December 31, 2018?
What will be an ideal response?