Shawna, a forensic accountant, has been hired by a large company to test the company's financial statements. There are questions about the accuracy of records that were entered by bookkeepers
Which of the following steps of the accounting process will Shawna most likely focus on?
A) putting transactions into a ledger
B) putting journal entries into a ledger
C) running a trial balance
D) looking at financial statements
E) doing ratio analyses
Answer: C
Explanation: C) A trial balance using the bookkeeping already done will tell whether there are any discrepancies or other inaccuracies in the bookkeeping.
You might also like to view...
Based on the following data for the current year, what is the number of days' sales in inventory? Sales on account during year $1,204,500 Cost of merchandise sold during year 657,000 Accounts receivable, beginning of year 75,000 Accounts receivable, end of year 85,000 Inventory, beginning of year 85,600 Inventory, end of year
a. 51.2 98,600 b. 44.4 c. 6.5 d. 7.5
Midtown, Inc. had the following transactions in 2018, its first year of operations:
• Issued 31,000 shares of common stock. Stock has par value of $1.00 per share and was issued at $20.00 per share. • Earned net income of $70,000. • Paid no dividends. At the end of 2018, what is total stockholders' equity? A) $31,000 B) $690,000 C) $620,000 D) $70,000
Human resource ______ and labor requirements planning are the core of human resource managers’ ability to analyze future employment needs for our organizations.
A. regression B. forecasting C. expansion D. simplification
Spice Inc's unit selling price is $60, the unit variable costs are $35, fixed costs are $125,000, and current sales are 10,000 units. How much will operating income change if sales increase by 8,000 units?
A) $150,000 decrease B) $175,000 increase C) $200,000 increase D) $150,000 increase