When preparing the operating activities section of the statement of cash flows using the direct method, a gain or loss from selling equipment is reported in the operating activities section of the statement of cash flows.
Answer the following statement true (T) or false (F)
False
The direct method converts revenues to cash inflows and expenses to cash outflows. Since a gain is a noncash revenue and a loss is a noncash expense, they would not appear in the operating activities section of the statement of cash flows prepared using the direct method.
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The in-charge auditor most likely would have a supervisory responsibility to explain to the staff assistants:
A. how overall materiality was selected. B. how the results of various auditing procedures performed by the assistants should be evaluated. C. that immaterial fraud is not to be reported to the client's audit committee. D. how the overall audit strategy will allow the firm to reach a sufficiently low level of audit risk.
What is the importance of the APY?
What will be an ideal response?
A codicil is a formally executed addition to a will
Indicate whether the statement is true or false
In the divorce agreement between Ted and Alice, Alice agreed to assume the debt on Ted's credit card. The credit card company agrees to this arrangement. This is an example of:
a. accord and satisfaction b. novation c. rescission d. revocation e. none of the other choices