Which of the following policies prevents a corporate officer from being sued for honest mistakes made on behalf of a corporation?
A) duty of loyalty
B) duty of obedience
C) business judgment rule
D) self-dealing
C
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The first step in undertaking a retail audit is _____
a. developing audit form(s) b. determining when and how often the audit is conducted c. determining who does the audit d. conducting the audit
The departmental overhead rate method involves the following four steps: 1) Assign overhead costs to departmental cost pools, 2) select an allocation base for each department, 3) compute overhead allocation rates for each department, and 4) use departmental overhead rates to assign overhead costs to products.
Answer the following statement true (T) or false (F)
On November 12, Higgins, Inc., a U.S. Company, sold merchandise on credit to Kagome of Japan at a price of 1,500,000 yen. The exchange rate was $0.00837 on the date of sale. On December 31, when Higgins prepared its financial statements, the exchange rate was $0.00843. Kagome paid in full on January 12, when the exchange rate was $0.00861. On January 12, Higgins should prepare the following journal entry:
A. Debit Cash $12,915; credit Accounts Receivable-Kagome $12,555; credit Foreign Exchange Gain $360. B. Debit Cash $12,915; credit Accounts Receivable-Kagome $12,645; credit Foreign Exchange Gain $90. C. Debit Cash $12,645; debit Foreign Exchange Loss $90; credit Accounts Receivable-Kagome $12,915. D. Debit Cash $12,555; debit Foreign Exchange Loss $360; credit Accounts Receivable-Kagome $12,915. E. Debit Cash $12,915; credit Accounts Receivable-Kagome $12,645; credit Foreign Exchange Gain $270.
The nature of hardware development projects is more diverse than software-oriented projects
a. True b. False Indicate whether the statement is true or false