As per APES 110, an auditor may Select one: perform advisory services for any
Q: A company's sales for January are $250,000. If the company projects warranty obligations to be 5% of…
A: Formula used: Warranty liability = Sales x Warranty obligations percentage
Q: A call center agent receiving a monthly salary of P21,000 with mandatory annual deductions of…
A: Gross income refers to the aggregate amount earned through person before the taxes as well as any…
Q: The financial statement that is also known as the statement of financial position is called the:…
A: All four options given in the question are parts financial statements. An entity's financial…
Q: Indirect cost is the cost that cannot be directly attributed to the production as these costs are…
A: Cost is the amount incurred in the regular course of the business. It may be direct or indirect.
Q: A public school teacher receiving a monthly salary of P26,494 with mandatory annual deductions of…
A: GIVEN A public school teacher receiving a monthly salary of P26,494 with mandatory annual…
Q: Andy Company records its purchases at gross but wishes to change to recording purchases at net.…
A: WHEN PURCHASES ARE RECORDED USING THE NET METHOD , PURCHASES AND ACCOUNTS PAYABLE ARE RECORDED AT AN…
Q: Figure: A block rests against a spring. The spring, with the block against it, is then compressed a…
A: Based on the information provided in the previous question, 1) We need to calculate How much time…
Q: Horizontal Analysis Mike Sanders is considering the purchase of Kepler Company, a firm specializing…
A: Answer:- 1(a) Computation of percentage change for the balance sheet:- Particulars This Year…
Q: Thomlin Company forecasts that total factory overhead for the current year will be $17,280,000 with…
A: Formula: Predetermined overhead rate = Estimated overhead / Estimated Machine hours.
Q: From the following information prepare the sale and leaseback agreement for Steven and CO. On…
A: A sale and lease back agreement is a contract between two parties where one party sells an asset to…
Q: On December 31, 2021, Maroon Co. leased an equipment with a cot of P2,000,000 to Green Co. for 5…
A:
Q: 3) Aira Company reported gross payroll of P600,000 for the month of January. The entity paid the…
A: Payroll It is important to maintain the payroll process by the management which is distributed to…
Q: Do you believe that the events immediately following GM's bankruptcy alleviated the concerns that…
A: Answer:- In the annual report of the GM. The corporation is recurring losses from the operations,…
Q: Explanation it correctly Q)Which of the following interest rates is usually the highest? Multiple…
A: Interest rate is amount charged by lender which can either be banks, sellers, government, agencies…
Q: The management of Bonga Corporation is considering dropping product D74F. Data from the company's…
A: Working Note: Total fixed costs = Fixed manufacturing expenses + Fixed selling and administrative…
Q: Hardin Company is a division of a major corporation. The following data are for the latest year of…
A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…
Q: When Job 117 was completed, direct materials totaled $9,518; direct labor, $14,467; and factory…
A: Formula used: Total cost = Direct materials + Direct labor + Factory overhead Summation of direct…
Q: Profitability Ratios The following information has been gathered for Malette Manufacturing: Net…
A: Solution:- 1)Computation of the return on assets as follows under:- It measures a company's…
Q: Essentials of Federal Income Taxation 9. Guaranteed Payments and Allocation of Partnership Income.…
A: The guaranteed payment is the payment like salary for service provided, return on time invested, and…
Q: Bilmoco Company purchased a new machine on a deferred payment basis. A down-payment of P100,000 was…
A: Cost of machine means the purchase price of machine including installation cost , non refundable…
Q: Pork Company's accounts payable at December 31, 2020 totaled P20,000,000 before any necessary…
A: Accounts Payable: It is a commitment by an organization to pay its creditors (as money related…
Q: a. The records of ABC Co. show the following: Goods sold on an installment basis to XYZ, Inc., title…
A: Inventory refers to all the items, goods, merchandise, and materials held by a business for selling…
Q: Branson paid $537,100 cash for all of the outstanding common stock of Wolfpack, Inc., on January 1,…
A: In technical analysis, consolidation is described as an asset fluctuating between a well-known…
Q: what is the carrying value of the intangible assts at December 31, 2020?
A: Carrying Value of intangible assets is shown in the balance sheet part where Calculation of the…
Q: A comparative balance sheet and income statement is shown for Cruz, Incorporated. CRUZ, INCORPORATED…
A: Statement of cash flows: It is a financial statement that shows the increase or decrease in the cash…
Q: Polly purchased a car. She paid P150,000 as down payment and pays P5,500 at the end of each month…
A: Polly purchased a car and paid ₱ 1,50,000 as the down payment and thereafter pays ₱ 5500 at the end…
Q: You are evaluating a new product. In year 3 of your analysis, you are projecting pro forma sales of…
A: In the question all figures are direct only depreciation amount needs to be calculated as per…
Q: Genaro Company sells 1 – and – 2 year subscription for its video of the month business.…
A: AN ENTITY RECOGNISES REVENUE WHEN IT SATISFIES A PERFORMANCE OBLIGATION BY TRANSFERRING A PROMISED…
Q: Computing Ending Inventory using Dollar-Value LIFO On January 1, 2020, Benn Company changed from…
A: GIVEN Computing Ending Inventory using Dollar-Value LIFO On January 1, 2020, Benn Company changed…
Q: Lowfood Corporation issued 10-year USD5,000,000 8 percent bonds on March 1, 2012, with a maturity…
A: The bonds are treated as a long-term liability because there are to be paid in more than a year. The…
Q: ation purc the execu ch is the f
A: Introduction: The benefits which are provided by the employer which acts as job satisfaction to…
Q: The capital account of Gene, Inc. on December 31, 2014 were as follows: Preference share capital,…
A: GIVEN The capital account of Gene, Inc. on December 31, 2014 were as follows: Preference…
Q: Phil Co. leased equipment to MNL Corp. on January 1, 2014 for an 8-year period expiring Dec. 31,…
A: Sales-lease type: It is the type of lease in which the lessor considers the lease transactions as…
Q: Marathon Peanuts converts a $130,000 account payable into a short-term note payable, with an annual…
A: The accrued interest is the interest due for payment but not yet paid.
Q: P company paid $3,600,000 in cash, to acquire 90%of S company on January 1, 2014. The total…
A:
Q: 0. Aira invested ₱ 7,000.00, part at 4% and the remainder at 8% simple interest. How much is…
A: Interest means the extra amount which we received because of investment made and will be paid in…
Q: On April 1, 2006, Naruto Company issued at 99 plus accrued interest, 2,000 of its 8% P1,000 face…
A: A BOND IS A DEBT SECURITY WHICH BORROWERS ISSUE BONDS TO RAISE MONEY FROM INVESTORS WILLING TO LEND…
Q: A corpor account balances at December 31, 2019: Accounts Payable $30,000 Building 67,000 Accounts…
A: Basic Concept of Accounting
Q: Level of Activity 2000 units 3500 units 6000 units Revenue Variable costs…
A: Formula: Contribution Margin = Sales - Variable costs Contribution Margin per unit = Contribution…
Q: Accounting
A: Bonds are priced by discounting future cash flows. Future cash flows include coupons and par value…
Q: Gem Company classifies a portion of its retained earnings as appropriated for loss contingencies.…
A: Retained earning is the earning accumulated over a period of time. It is used for various purposes…
Q: ngageNOWv2 | Online teachin X +…
A: Solution... Sales = $1,015,000 Variable cost = 63 % of sales = 63 % * $1,015,000 = $639,450…
Q: Contina Co. owed Maunlad Bank a P3,000,000, three-year, 10% note payable dated January 1, 2012. The…
A: Restructuring in Notes Payable For the Restructuring of the Debt which are provided by the financial…
Q: A jeans maker is designing a new line of jeans. These jeans will sell for $410 per unit and cost…
A: Income is the amount of money earned. It can be done either by selling the goods or providing the…
Q: In the year 2020, kim plastics sold 100,000 units of its product. Selling price per unit was 100.…
A: Formula: Operating income: Deduction of variable costs and fixed costs from the sales revenue…
Q: Berring Company produces two products: the deluxe and the standard. The deluxe sells for $40, and…
A: “Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: Montello Inc. purchases a delivery truck for $14,000. The truck has a salvage value of $2,000 and is…
A: Introduction: Depreciation: Decreasing value of fixed assets over its useful life period called as…
Q: Summa Company revealed the following account balances on December 31, 2020: Accounts payable…
A: An income statement is a declaration of the organization's revenue and costs that results in a net…
Q: On March 1, 2014, Khaleesi Company issued 10-year P5,000,000 8% term bonds dated March 1, 2014 and…
A: Unamortized discount on bonds payable of 333,906
Q: 37. How many kg of material were available for use in production? A company uses limiting factor…
A: Number of kg of material available for use in production is = summation of optimal production…
Step by step
Solved in 2 steps
- Which of the following may not be the possible sources of obtaining information in respect of client's business for the purpose of preparation of an audit plan? O a. Minutes of directors and shareholders of entity's competitors O b. Discussion of audit matters with an internal auditor OC. Discussions with client's lawyers O d. Predecessor auditor's working papersWhich of the following statements relating to internal and external auditors is correct? i) Internal auditors are required to be members of a professional body ii) Internal auditors’ scope of work should be determined by the management iii) External auditors are trusted by government agencies, investors, and public. iv) Internal auditors can never be independent of the company a. iii and iv b. i and iii c. i and ii d. ii and iiIf an auditor believes that an understanding with an audit client has not been established he or she should? State what should an auditor do and explain.
- Choose the correct.Which of the following is not a way by which the Sarbanes–Oxley Act attempts to ensure auditor independence from an audit client?a. The auditing firm must be appointed by the client’s audit committee.b. Audit fees must be approved by the Public Company Accounting Oversight Board.c. The audit committee must be composed of members of the client’s board of directors who are independent of the management.d. The external auditor cannot also perform financial information system design and implementation work.Which of the following actions would be considered as self-interest threats? Select which two options are correct. Select one or more: A. A member of the assurance team is a director of the client. B. An auditor acts as an advocate on behalf of an assurance client. C. An auditor has potential employment with an assurance client. D. One client provides a high percentage of total audit fees.Auditors must use their professional judgment_ O to distinguish if a misstatement or scope limitation is just material or pervasively material O to distinguish if a misstatement or scope limitation is just immaterial or pervasively material O to determine if the firm has the ability to pay the auditor for services rendered O in selecting the client's audit committee
- The auditor prepares the financial statements for DecoPaints SAOG while also serving as the auditor for DecoPaints SAOG Company. By having the auditor review his or her own work, the auditor cannot be expected to form an unbiased opinion on the financial statements. Which threat may occur when a previous judgment needs to be re-evaluated by the professional accountant responsible for that judgment? Intimidation threats Advocacy threats Self-review threats Self-interest threatsCharacteristics of auditing do not include: O a. Independent Examination O b. Objective of Expressing an Opinion on financial information O c. Applies to all types of entities O d. Done by the accountant of the entityA CPA audits the financial statements of an issuer. Which statement relating to CAMs is TRUE? a. If the auditor determines that no CAMs existed, the audit report includes a paragraph defining CAMs and stating that no Cams existed. b. CAMs are not required to be communicated to the TCWG (Audit Committee). c. CAMs usually alter the opinion on the financial statements. d. CAMs involve matters of most significance to the audit. e. The paragraph discussing a discovered CAM should not include how the CAM was addressed in the audit.
- Which of the following is not a way by which the Sarbanes-Oxley Act attempts to ensure auditor independence from an audit client? Multiple Choice The auditing firm must be appointed by the client's audít committee. The audit committee must be composed of members of the client's board of directors who are independent of the management. Audit fees must be approved by the Public Company Accounting Oversight Board. The external auditor cannot also perform financial information system design and implementation work.Professional skepticism is a. An attitude that includes a questioning mind. b. The auditor's application of relevant training, knowledge and experience. c. One of the professional code of ethics. d. Not necessary in auditing of the entity.Which of the following is not a way by which the Sarbanes–Oxley Act attempts to ensure auditor independence from an audit client?a. The auditing firm must be appointed by the client’s audit committee.b. Audit fees must be approved by the Public Company Accounting Oversight Board.c. The audit committee must be composed of members of the client’s board of directors who are independent of the management.d. The external auditor cannot also perform financial information system design and implementation work.