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Question - You are the auditor of a client in a retail industry. In the 1st and 2nd quarter of the year under audit, they reported 1.5M and 2M respectively, in their Income before Taxes. Based on your experience, there is a much higher demand for their product in the 3rd and 4th quarter. You noted the following Income before Taxes information last year:
1stQtr - 600K
2ndQtr - 950K
3rdQtr - 1.14M
4thQtr - 1.254M
Assume that you use 5% of Income before Taxes as Overall Materiality, and determined that no qualitative factors are relevant that will have an effect on the initial 5% assessment. Assume as well that the Tolerable misstatement is 50% of the Overall Materiality.
Required - Based on the available information, compute the Overall Materiality and Tolerable Misstatement. Show your solutions.
Compute the fixed overhead and variable overhead variances. Compute a total of four variances.
the cash account for online medical co. at june 30 2012 indicated a balance of 9375. the bank statement indicated a
Calvin called you to ask what tax consequences the interest and dividends will have along with the stock sale. What tax advice would you offer to Calvin
Review the cases and the penalties indicated for various published cases. What did Richard Huff do to get in trouble, and what was his sanction from the PCAOB?
danson company is a chemical manufacturer that supplies various products to industrial users. the company plans to
What Sanchezs gross margin for the Year two is?Started the business by issuing $13,300 of common stock for cash.Sanchez Company engaged in transaction
Based on the result of your optimisation model, what is the Total Cost, according to the optimal solution? Provide variables, objective, and, constraints
A schedule of expected cash collections from sales, by month and in total, A sales budget by month and in total
1. Assume that the cost driver is number of opening shows. Develop the cost formula for the gallery's costs for a year.
tavorn corporation applies manufacturing overhead to products on the basis of standard machine-hours. the companys
southern company is preparing a cash budget for april. the company has 12000 cash at the beginning of april and
The adjustment of $8,175 for accrued fees earned was journalized as a debit to Accounts Receivable for $8,175 and a credit to Fees Earned for $8,157.
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