Method of conducting an audit

Assignment Help Accounting Basics
Reference no: EM13914096

Gabriel O'Scatterbrain receives a notice from his local IRS office indicating that his 2013 return is being audited, in particular his Schedule C which shows gross receipts of $222,000. The letter informs Gabriel that an appointment has been scheduled on June 30, 2014, at 10:00 a.m. for him to come to the office. He is told to bring with him copies of the documentation which will substantiate his claimed travel expenses and his deduction for meals and entertainment. The letter also requests that he provide documentation supporting his gross receipts of $222,000. This is an example of what method of conducting an audit? What alternative methods are available? Explain each.

Reference no: EM13914096

Questions Cloud

Use pre determined overhead rates : Why must a company use pre-determined overhead rates when using job order costing? What are some additional costs that you would need to consider if the motorcycles were for customers that were overseas?
What is the payback period : Suppose you want to invest in a $100,000 project that you expect to provide cash inflows of $50,000 in the first year, $25,000 in the second and $20,000 per year thereafter, what is the payback period
Interest on student loans : interest on student loans-points paid on the purchase of the taxpayer's main home.
Have you experienced any of these marketing tactics : Discuss in detail, what can marketing managers do in anticipation and in response to each post-decision processes?
Method of conducting an audit : The letter also requests that he provide documentation supporting his gross receipts of $222,000. This is an example of what method of conducting an audit? What alternative methods are available? Explain each.
Prepare journal entries to record issue of bond by waterbury : Prepare the journal entries to record the issue of bonds by Waterbury on March 1, 2014, and the first two interest payments on September 1, 2014, and March 1, 2015. Use the straight-line method and ignore year-end accruals.
Manufacturing machine in its production facility : Wickland Company installs a manufacturing machine in its production facility at the beginning of the year at a cost of $141,000. The machine's useful life is estimated to be 20 years, or 400,000 units of product,
What strategic initiatives would you recommend to sigma : What strategic initiatives would you recommend to Sigma? How would you ensure that the firm has the resources, expertise, systems, etc. to implement those initiatives?
How much is amortization and how much is interest expense : With regard to the bond interest payment on March 31, 2015: How much cash is paid in interest? How much is the amortization? How much is interest expense?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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