Reference no: EM131267749
1. When designing the audit program and the particular audit tests, the auditor should keep in mind that _____.
a. the audit program is broken down into two parts: the risk assessment procedures and the tests of details of balances.
b. the tests of controls will not vary depending on assessed control risk.
c. analytical procedures performed during substantive testing are generally more focused and more extensive than those done as part of planning
d. auditing standards require that the tests contained in the audit program are approved by the PCAOB.
2. A cash dividend of $500 was declared and paid to stockholders simultaneously. The correct journal entry to record the declaration and payment simultaneously is _______________.
debit Capital Stock 500 and credit Cash 500
debit Cash 500 and credit Dividends 500
debit Dividends 500 and credit Cash 500
debit Cash 500 and credit Capital Stock 500
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Prepare in general journal form the entries required
: Annabelle Benton, great-granddaughter of the founder of the Town of Benton, made a cash contribution in the amount of $500,000 to be held as an endowment. To account for this endowment, the town has created the Alex Benton Park Endowment Fund. Prepar..
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Statement of revenues-expenditures-changes in fund balance
: Annabelle Benton, great-granddaughter of the founder of the Town of Benton, made a cash contribution in the amount of $500,000 to be held as an endowment. To account for this endowment, the town has created the Alex Benton Park Endowment Fund. A bala..
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In practice a market portfolio is often represented by
: In practice a market portfolio is often represented by:
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Difference between the present value and future value
: The only difference between the present value and future value of a lump sum is the amount of interest that is earned in the intervening time span.
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When designing audit program and the particular audit tests
: When designing the audit program and the particular audit tests, the auditor should keep in mind that _____. A cash dividend of $500 was declared and paid to stockholders simultaneously. The correct journal entry to record the declaration and payment..
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Principal and interest are repaid by making annual payments
: On January 1, Year XXX1, Fleming Company borrowed $160,000 cash from the First Trust Bank by issuing a five-year 8 % term note. The principal and interest are repaid by making annual payments beginning on December 31, Year XXX1. The annual payment on..
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Treasury stock should be shown on the balance sheet
: Treasury stock should be shown on the balance sheet as a(n) _______________. Malloy Company issued its own $10,000, 90-day, non-interest-bearing note to a bank. The only payment Malloy will ever make to the bank will be for $10,000 at the maturity da..
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Compute the revenue effect of price recovery
: In 2011, Monarch Aircraft Company sold 36,000 jet panels at $8,000 per panel. In 2012, Monarch lowered the price per panel as a result of unforeseen market forces to $6,000 but sold an equal number of panels. Compute the revenue effect of price recov..
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The current ratio for volkan company
: Volkan Company has cash of $10,000, Accounts Payable of $24,000, inventory of $16,000, and, equipment of $40,000. The company has short-term loan of $10,000, Accounts Receivable of $14,000, Salary Payable of $6,000 and Long-term loan of $10,000. The ..
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