The auditors' best course of action with respect to "other information (not including required supplemental information)" included in an annual report containing the auditors' report is to:
A. Consider whether the "other financial information" is accurate by performing a limited review.
B. Indicate in the auditors' report, that the "other financial information" is only compiled.
C. Read and consider the manner of presentation of the "other financial information."
D. Obtain written representations from managements as to the material accuracy of the "other financial information."
Answer: C
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One way to create and communicate clear expectations about what is and is not acceptable in an organization is:
a. having separate, nonintegrated personnel and operating policies. b. creating an expectation of punishment. c. following a reactive management style. d. to have a clearly defined code of conduct in place.
Which of the following statements is true about population trends in the United States?
a. Rural areas posted their first-ever net loss of population in 2012. b. Less than a thousand households contain at least two adult generations. c. Baby boomers are now the smallest population group. d. Tweens are now the largest population group.
Which of the following is NOT an advantage of using strategic alliances to support global strategies?
a) they can the firm establish technological standards for the industry. b) they enable firms to better implement a transnational strategy. c) they allow firms to share the fixed costs and associated risks of developing new products or processes. d) they are a way to bring together complementary skills and assets that neither company could easily develop on its own. e) they may facillitate entry into a foreign market.
Cadavieco Corporation has provided the following data for its two most recent years of operation:?Selling price per unit$90????Manufacturing costs:?? Variable manufacturing cost per unit produced:?? Direct materials$13? Direct labor$6? Variable manufacturing overhead$4?Fixed manufacturing overhead per year$224,000?Selling and administrative expenses:?? Variable selling and administrative expense per unit sold$5? Fixed selling and administrative expense per year$74,000??Year 1Year 2?Units in beginning inventory01,000?Units produced during the year8,0007,000?Units sold during the year7,0005,000?Units in ending inventory1,0003,000Required:a. Assume the company uses absorption costing. Compute the unit product cost in each
year.b. Assume the company uses absorption costing. Prepare an income statement for each year.c. Assume the company uses variable costing. Compute the unit product cost in each year.d. Assume the company uses variable costing. Prepare an income statement for each year. What will be an ideal response?