You are planning on starting your own business in 18 months and you intend to purchase a new home. You have looked carefully at your budget and have determined that you can afford a PITI of $900 per month
Your banker has told you that you can easily qualify for a PITI of $1,150 per month. Which of the following is the most reasonable explanation for this discrepancy?
A) Your banker knows you really would be happier in a more expensive house.
B) Your banker is not aware of your other long-term financial goals.
C) Your banker's number is more accurate than your number.
D) None of the above is a reasonable explanation.
Answer: B
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A. Reading of the financial statements to determine if they conform with generally accepted accounting principles. B. Inquiry about actions taken at meetings of the board of directors that may affect the financial statements. C. Communication of any material weaknesses discovered during the consideration of internal control. D. Issuance of a report stating that the review was performed in accordance with standards established by the AICPA.
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A. reliability B. responsiveness C. assurance D. empathy E. tangibles
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Answer the following statement true (T) or false (F)
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(a) Open account transaction (b) Confirmed letter of credit (c) Consignment sale (d) Irrevocable letter of credit