Auditors will examine significant sales returns immediately subsequent to the period under audit in order to do which of the following?
a. Substantiate cutoff and the occurrence of net sales transactions.
b. Test the sufficiency of cash balances to cover refunds.
c. Monitor customer satisfaction for disclosure.
d. Assess the nature of procedures that will be performed for the next period's audit.
a
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The two cofounders of Network Appliance, a data-storage firm in Sunnyvale, California, were feuding with each other because one founder couldn't stick to his decisions, which drove the other founder crazy. A(n) ____________ began working with the warring executives in separate sessions to solve the problem.
A. organizational behavior specialist B. family doctor C. informational technologist D. acquisition consultant E. labor relations specialist
A bill is received for electric service; the charge for the electricity is recorded, but payment will be made later. For this transaction, identify the effect on the accounting equation
a. Assets increase and liabilities increase. b. Assets increase and stockholders' equity increases. c. Liabilities increase and stockholders' equity decreases. d. Liabilities decrease and assets decrease.
Estimates suggest that what percentage of North American businesses have some type of self-managed team?
a. 20-30% b. 50-60% c. 70-80% d. 80-90%
Sycamore Corporation's financial statements show the following items for the current year in its financial accounting records:Gross receipts$500,000Cost of goods sold 260,000Capital loss7,000Salaries and wages80,000Operating expenses50,000Depreciation12,000Charitable contributions10,000Dividend income5,000For tax purposes, depreciation is $22,000. Sycamore owns less than 20% of the company from which it received dividends. Calculate Sycamore's taxable income, tax liability, and carryforwards.
What will be an ideal response?