Audited the wheat city grain companys financial statements

Assignment Help Financial Accounting
Reference no: EM13864137

Mary Howard, CPA, has long audited the Wheat City Grain Company’s financial statements. Much of Wheat City’s assets consist of wheat stored in three of its grain elevators, and the Company maintains perpetual inventory records of the quantity of wheat stored there. Concurrently, on a surprise basis, at different times each month, state grain inspectors also “count” the quantity of wheat found in these elevators—and have found no material differences in the perpetual records for the five years that they have performed this function. To save both time and audit fees, Mary wants to rely on the state inspectors’ counts instead of her making independent counts thereof. Can Mary do this?

Reference no: EM13864137

Questions Cloud

Do you agree the services offered by hmo : Do you agree or disagree that the behavioral healthcare services covered by HMOs are considered adequate for patients with mental illness? Why? Compared to the services offered in public community mental health services, do you agree the services ..
Audited financial statement : Gates Inc. has its reviewed interim financial information included with the audited financial statement. However, after the review the auditor believes that the interim financial information is not prepared in accordance with an applicable financial ..
Difference between mass surveillance and targeted surveillan : What is the difference between mass surveillance and targeted surveillance?
Land now has potential soil and groundwater problems : Xco is an accrual basis taxpayer with multiple lines of businesses. One business is a gas station. The land underneath the gas station did not appear contaminated when Xco purchased it. However, the land now has potential soil and groundwater problem..
Audited the wheat city grain companys financial statements : Mary Howard, CPA, has long audited the Wheat City Grain Company’s financial statements. Much of Wheat City’s assets consist of wheat stored in three of its grain elevators, and the Company maintains perpetual inventory records of the quantity of whea..
Plans to his general merchandise manager : A buyer submits the following plans to his general merchandise manager: Planned sales $135,000 Planned initial Markup 40%
Policy against the above deferred compensation liability : In order to help induce Jill Gregory to remain as president of the Reed Company, in 2000 it promises to pay her (or her estate) $200,000 per year for the next 15 years—even if she leaves the company or dies. Reed wants to ascertain if it can offset t..
The ceo of an ambulatory care clinic : You are the CEO of an ambulatory care clinic. Your facility provides outpatient, orthopedic procedures. Your facility directly competes with the local hospital. The hospital participates in several quality initiatives and is accredited by The Joint C..
Health care disparitiesresources : Providing care differently to those who may be of an ethic minority, speak a different language, or be of a different socioeconomic class, is a significant problem in the way health care is delivered and measured. Health care managers need to constan..

Reviews

Write a Review

Financial Accounting Questions & Answers

  Incurred cost

Brown Company incurred cost of $17000 for material, $13000 for labor, and $16000 for factory overhead. There was no beginning or ending work in process.

  What is the non-controlling interest balance

On January 1, 2014, Jannison Inc. acquired 90% of Techron Co. by paying $477,000 cash. There is no active trading market for Techron stock. Techron Co. reported a Common Stock account balance of $140,000 and Retained Earnings of $280,000 at that date..

  What are your thoughts about these two methods

in the Republican party, Herman Cain, has a flat tax plan called 9/9/9. Rick Perry has his own flat tax plan. He wants to tax all earned income at a mere 20% rate and not tax capital gains, dividends or estates. what are your thoughts about these..

  Maintain existing capital structure to finance new project

What would be the minimum expected return from a new capital investment project to satisfy the suppliers of the capital? Assume the applicable tax rate is 40%, interest on debt is 7%, flotation cost per share of preferred stock is $0.75, and flotatio..

  Total amount of cash due on the maturity date

A company receives a 6.55%, 60-day note for $10,150. The total amount of cash due on the maturity date is:

  Illustrate what are tax consequences to both lotta and meg

Illustrate what are the tax consequences to both Lotta and Meg(show the 4 portions of the deemed transaction along with the imputed amounts) for 2011?

  Transactions in the accounts of the summer employment

On January 1, 2015, the first day of its fiscal year, the city of Carter received notification that a federal grant in the month of $650,000 was approved. Teh grant was restricted for the payment of wages for teenagers for summer employment. The term..

  Corporation sells types of computer chips-break-even point

Ramirez Corporation sells two types of computer chips. The sales mix is 30% (Q-Chip) and 70% (Q-Chip Plus). Q-Chip has variable costs per unit of $36 and a selling price of $60. Q-Chip Plus has variable costs per unit of $42 and a selling price of $7..

  Construct a cost volume profit chart

For the coming year, loudermilk inc. anticipates fixed costs of $600,000 a unit variable cost if $75 and a unit selling price of $125. the maximum sales within the relevant range are $2,500,000. construct a cost volume profit chart. estimate the brea..

  Evaluate weighted average cost of capital

Information on Huntington Power Co. is shown below. Consider the company's tax rate is 33 % -  Evaluate weighted average cost of capital

  Company bought each of a danish company for 8 million

company bought each of a danish company for 8 million kroner dkk on 21st dec year 1. on 21st december the exchange rate

  Evaluate annual depreciation for the first and second years

Evaluate annual depreciation for the first and second years using the straight-line method

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd