Policies and procedures designed to reduce the opportunities for fraud are often called:

A. Financial systems.
B. Accounting standards.
C. Asset source transactions.
D. Internal controls.


Answer: D

Business

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Ordinarily, an agent may delegate his duties to an equally qualified subagent

a. True b. False Indicate whether the statement is true or false

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The following static budget is provided: Per Unit TotalSales$50?  $850,000? Less variable costs:       Manufacturing costs 20?   340,000? Selling and administrative costs 10?   170,000? Contribution margin$20?  $340,000? Less fixed costs:       Manufacturing costs     75,000? Selling and administrative costs     135,000? Total fixed costs     210,000? Net income    $130,000?  What will be the overall volume variance if 20,000 units are produced and sold?

A. $60,000 F B. $150,000 F C. $60,000 U D. $30,000 U

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Grain Mills Corporation is required to register its securities under Section 12 of the Securities Exchange Act of 1934. Section 14(a) of the act regulates A) the declaration of dividends by Grain Mills's board of directors

B) the later re-registration of Grain Mills's securities. C) the short-swing activities of Grain Mills's insiders. D) the solicitation of proxies from Grain Mills's shareholders.

Business

The selling and administrative expense budget of Choo Corporation is based on budgeted unit sales, which are 4,600 units for August. The variable selling and administrative expense is $7.30 per unit. The budgeted fixed selling and administrative expense is $51,980 per month, which includes depreciation of $6,440 per month. The remainder of the fixed selling and administrative expense represents current cash flows. The cash disbursements for selling and administrative expenses on the August selling and administrative expense budget should be:

A. $33,580 B. $79,120 C. $85,560 D. $45,540

Business