The revenue cycle is a major cycle for most companies. Accounts receivable, revenue, and other accounts are tested through this cycle. Often there are misstatements found, including errors and/or fraud by the client.
CONCEPT REVIEW: It is important in testing any cycle, especially revenue, to realize that misstatements will occur and to try to distinguish between errors and fraud
1. Many instances of misstatement are based on the inappropriate recognition of_______
2. One way to avoid misstatement of revenue is to ensure the client has proper______
3. Revenues are deemed to be earned when the company has______ what it must do to fulfill its obligation
4. Side______ can substantially alter the terms of a sale.
5. _______ needs to be assured in order to recognize revenue.

Answers

Answer 1

Answer and Explanation:

1. The misstatement would depend on  when there is inappropriate revenue recorded

2. For avoiding the revenue misstatement, the client should have to cut off the policies

3.  The revenues are earned at the time when the company achieved or accomplished for fulfiling its obligation

4.  The side agreements could modify the terms of sales

5. For recording the revenue, the collectibility needs to be confirmed


Related Questions

the median of four numbers is 63.the three of the numbers are 60,62 and 92 what is the missing number ​

Answers

Answer: 64

Explanation:

To find the median of a number, we have to arrange the numbers that are given in either ascending or descending order.

In this case there are 4 numbers, let the fourth number be x, therefore the numbers will be:

60, 62, x and 92.

Since they are four numbers, the median will be the addition of the 2nd and 3rd number and then divided by 2. This will be:

(62 + x) / 2 = 63

62 + x = 126

x = 126 - 62

x = 64

The missing number is 64

Getting certain advanced certifications can require ______.
a.
Passing knowledge tests
b.
Years of experience
c.
Extensive training
d.
All of the above

Answers

Answer:

d. All of the above

Explanation:

Advanced certificate programs as the name entails are only for professionals who are established in their careers line. Ordinary or new professionals cannot get this certificate as it requires experiences and job test to acquire the certificate. Passing knowledge tests, years of experience and extensive training are all requisite to possess to be able to acquire advance certificate.

Answer:

d all of the above. HOPE THIS HELPS!!

Explanation:

PLEASE HELP ME IM STUCK ON THIS

Answers

C because it’s something you pay every month
It’s C because it’s a monthly thing. You pay for it every month until it’s canceled.

Zwick Company bought 25,500 shares of the voting common stock of Handy Corporation in January 2021. In December, Handy announced $202,700 net income for 2021 and declared and paid a cash dividend of $3.00 per share on all 202,500 shares of its outstanding common stock. Zwick Company's dividend revenue from Handy Corporation in December 2021 would be:

Answers

Answer:

$76,500

Explanation:

Zwick Company owns 25,500 shares of Handy Corporation, which represents 25,500 / 202,500 = 12.59% of all common stocks. Since Zwick influence over Handy is not significant, all dividends received will be directly considered dividend revenue.

total dividends received = $3 per share x 25,500 shares = $76,500

In U.S. price support programs, the "loan rate" is:______.
a. determined by Federal Reserve policy.
b. the interest rate a farmer must pay if he borrows from the government with his crop as collateral.
c. the difference between the market price and the target price.
d. the proportion of the farmer's crop he can loan to the government.
e. the effective price (i.e. price floor) for the commodity to ensure loan repayment.

Answers

Answer: E. the effective price (i.e. price floor) for the commodity to ensure loan repayment

Explanation:

The Price Support Programm is a policy by the government that is used in order to help farmers when there's a reduction in prices of agricultural products by giving out insurance to the farmers.

In U.S. price support programs, the "loan rate" is simply the effective price (i.e. price floor) for the commodity to ensure loan repayment.

Last year, Big W Company reported earnings per share of $2.70 when its stock was selling for $40.50. If its earnings this year increase by 10% and the P/E ratio remains constant, what will be the price of its stock?

Answers

Answer: $‭44.55‬

Explanation:

P/E ratio last year = Market price / Earnings per share

= 40.50/2.70

= 15

PE ratio remains constant.

Earnings increase by 10% = 2.70 * 1.10 = $‭2.97‬

15 = Market Price / 2.97

Market Price = 15 * 2.97

= $‭44.55‬

Juan purchases an annuity for 3890 dollars that will make 19 annual payments, the first to come in one year. If the effective rate of interest is 10.8 percent, how much is each annual payment?

Answers

Answer:

489.92  

Explanation:

The formula for the  present value of an ordinary annuity below can be used to determine the size of annual payment wherein  the formula is rearranged to make annual payment the subject of the formula:

PV=Annual payment*(1-(1+r)^-n/r

PV=price paid today=3,890

Annual payment= the unknown

r=effective rate of interest=10.8%

n=number of annual payments expected=19

3,890=Annual payment*(1-(1+10.8%)^-19/10.8%

3,890=Annual payment*(1-(1.108)^-19/0.108

3,890=Annual payment*(1-0.142476931 )/0.108

3,890=Annual payment*0.857523069 /0.108

Annual payment=3,890*0.108/0.857523069

Annual payment= 489.92  

if we say local materials​

Answers

What? This is a little confusing

Glenn is an accountant who races stock cars as a hobby. This year Glenn was paid a salary of $83,000 from his employer and won $2,300 in various races. What is the effect of the racing activities on Glenn's taxable income if Glenn has also incurred $4,500 of hobby expenses this year?

Answers

The answer is 40,000

an increase In long run aggregate supply can be expected to _______ the price level and ______ the natural rate of unemployment.​

Answers

Answer:

fall is the answer for both blanks

For a pure competition firm if price is less than the minimum of the __________, output at 0 will result in less loss than producing at any other level.

Answers

Answer:

need more information

Explanation:

For a pure competition firm is charging a price less than the minimum average variable cost at zero output , will result in a loss than producing at any other level.

What is a pure competition firm?

A theoretical market structure is referred to as pure competition. There are numerous buyers and sellers, and prices are determined by supply and demand. Companies make only enough money to stay in business. If they made too much money, other companies would enter the market and drive down profits.

If a profit-maximizing firm produces a positive output in the short run, then the market price must be greater than or equal to the Average variable cost (AVC) at that output level. Hence when price is less than minimum AVC, the firm produces zero output.

Therefore the market price is less than average variable cost for zero output for pure competition firm.

To learn more about, pure competition, click here:

https://brainly.com/question/28189773

#SPJ5

Proper Paints Company has a target capital structure of 35% debt and 65% common equity with no preferred stock. Its before tax cost of debt is 8% and its marginal tax rate is 25%. The current stock price is P0 = $22. The last dividend was D0 = $2.25 and it is expected to grow at a 5% constant rate. What is its cost of equity and it's WACC?

Answers

Answer:

cost of equity = 15.74 %

WACC = 12.33 %

Explanation:

The Weighted Average Cost of Equity (WACC) is the return that is required by providers of Long Term source of finance. WACC assumes the Pooling of Funds Principle when it comes to financing projects.

WACC = E/V × Ke + D/V × Kd

Where,

E/V = Market Weight of Equity

      = 0.65

Ke = Cost of Equity

    = D1 / P0 + g

    = ($2.25 × 1.05)/ $22 + 0.05

    = 15.74 %

D/V = Market Weight of Debt

       = 0.35

Kd = Cost of Debt

    =  8%  × (1 - 0.25)

    = 6 %

Therefore,

WACC = 0.65 × 15.74 % + 0.35 × 6 %

           = 12.33 %

Xtron has few rules and procedures and prides itself on empowering lower-level employees to be nimble and responsive to its customers' rapidly changing needs. Xtron would be best described as a(n) ______ organization.

Answers

Answer:

Organic

Explanation:

From the question, we are informed about Xtron who has few rules and procedures and prides itself on empowering lower-level employees to be nimble and responsive to its customers' rapidly changing needs. In this case Xtron would be best described as a organic organization.

Organic organizations, which was set up by Tom Burns and G.M. Stalker arround 1950, organic organization can be regarded as organization that is can be embrace flexibility and have the potential to adapt well to changes, they also have

value external knowledge.

The stable and predictable base of deposited funds that are not highly sensitive to movements in market interest rates but tend to remain with the bank are called:

Answers

Answer:

Core deposits.

Explanation:

The stable and predictable base of deposited funds that are not highly sensitive to movements in market interest rates but tend to remain with the bank are called core deposits.

Basically, this type of deposit gives rise to a stable source of money (funds) used for lending by financial institutions such as banks to its customers. Core deposits include all active accounts by customers, certificate of deposits, money market deposits, time deposits, demand deposits, etc.

The main purpose of the core deposits is to ensure there are predictable costs and it can be used to measure a customer's loyalty.

A company purchased an asset for $2,850,000 that will be used in a 3-year project. The asset is in the 3-year MACRS class. The depreciation percentage each year is 33.33%, 44.45%, and 14.81%, respectively. What is the book value of the equipment at the end of the project?
A) $211,185.B) $0.C) $633,270.D) $1,900,095.E) $2,638,815.

Answers

Answer:

A) $211,185

Explanation:

The computation of the book value of the equipment at the end of the project is as follows;

Depreciation in Year 1 is

= Asset Price × 33.33%

= $2,850,000 × 33.33%

= $949,905

Depreciation in Year 2 is

= Asset Price × 44.45%

= $2,850,000 × 44.45%

= $1,266,825

And, Depreciation in Year 3 is

= Asset Price × 14.81%

= $2,850,000 × 14.81%

= $422,085

Now

Total Accumulated Depreciation is

= $949,905 + $1,266,825 + $422,085

= $2,638,815

And, finally  

Book Value of the equipment is

= $2,850,000 - $2,638,815

= $211,185

Therefore the correct option is a.

You are a U.S. investor who purchased British securities for 2,340 pounds one year ago when the British pound cost $1.52. No dividends were paid on the British securities in the past year. Your total return based on U.S. dollars was __________ if the value of the securities is now 2,440 pounds and the pound is worth $1.61.
a. 16.7%.
b. 20.0%.
c. 12.5%.
d. n/a.

Answers

Answer:

d. n/a

Explanation:

Calculation for Your total return based on U.S. dollars

Total return=(2,440 pounds*$1.61)- (2,340 pounds*$1.52)/ (2,340 pounds*$1.52)

Total return=$3,928.4-$3,556.8/$3,556.8

Total return=$371.60/$3,556.8

Total return=0.1045*100

Total return=10.45%

Therefore Your total return based on U.S. dollars was 10.45%

Big Wheel, Inc. collects 25% of its sales on account in the month of the sale and 75% in the month following the sale. Sales on account are budgeted to be $17,900 for March and $50,600 for April. What are the budgeted cash receipts from sales on account for April

Answers

Answer:

$26,075

Explanation:

Follow the  Receipt Cycle that has been stated but this time focusing on the month of April

Receipts :

Collection for April Sales ( $50,600 × 25%)  = $12,650

Collection for March Sales ( $17,900 × 75%) = $13,425

Total Collection in April                                  = $26,075

Therefore, Total cash receipts from sales on account for April  are  $26,075.

Paris operates a talent agency as a sole proprietorship,and this year she incurred the following expenses in operating her talent agency.What is the total deductible amount of these expenditures?
$1,000 dinner with a film producer where no business was discussed
$500 lunch with sister Nicky where no business was discussed
$700 business dinner with a client but Paris forgot to keep any records (oops!)
$900 tickets to the opera with a client following a business meeting
A) $450.
B) $900.
C) $1,100.
D) $1,200.
E) $0

Answers

Answer:

A) $450.

Explanation:

The computation of the total deductible amount of the expenses is as follows:

In the case of the deduction with respect to the meal cost and entertainment. Only the half of the expense would be deducted i.e. for the business meeting

As in the question the opera tickets is $900 so the half of $900 i.e. $450 would be allowed as a deduction

Therefore the correct option is A.

mr kleaners acquired new industrial washing mavhine,the list price price of which was 52000.the supplier allowedva tade discount of 4000 off the list price.on delivery the cost of installing the machine in its desire location was 950
what is the cost if machine to be capitalised in the machinery account​

Answers

Answer:

I think its $48,950.

Explanation:

you subtract 4,000 from 52,000 which is 52,000 - 4,000 = 48,000.

then you will add that extra $950 getting you a total of $48,950.

if I'm wrong I'm sorry I'm not that good at math.

Zoom, Inc. makes a sale for $600. The company is required to collect sales taxes amounting to 7%. The journal entry to record the sale will include a: ___________.
a. credit to Cash for $642.
b. credit to Sales Revenue for $600.
c. debit to Cash for $600.
d. credit to Sales Revenue for $642.
e. debit to Sales Tax Payable for $42.

Answers

Answer:

b. credit to Sales Revenue for $600.

Explanation:

The sales tax is 7% of the sales price which is $600

Sales tax=7%*$600=$42

The journal entries for this transaction would have a debit of $642(sales price plus sales tax i.e $600+$42=$642) in the cash account and not credit as shown by option a.

Also, sales revenue would be credited with sales price of $600 while sales tax payable is credited with the amount of sales tax which is $42( not a debit as shown by option e)

four activities or services that make trade easy ​

Answers

Answer:

The activities are:

1. Transport

In the cutting edge times there is a tremendous distance between places of creation and the places of utilization. This trouble is eliminated by a significant guide to exchange known as Transport.Transport makes place utility.

2. Communication

Communication implies sending or trade of data starting with one individual then onto the next.

Communication can be oral or recorded as a hard copy. It is important to impart data starting with one then onto the next to finish and settle the terms of deals, for example, costs of products, markdown permitted, the office of credit, and so forth

3. Banking

Banking tackles the issue of money. Finance managers get cash and furthermore pays cash in huge sums. It is unsafe to convey a lot of money starting with one spot then onto the next. Here comes Banking as an answer. Banking and monetary organizations take care of the issue of installment and encourage a smooth trade among purchaser and dealer. The finance managers may likewise require present moment and long haul reserves. Banks give such account to money managers.

4. Advertising

Advertising fills the information hole and it unravels the trouble of data. Trade of merchandise and ventures conceivable just if makers can carry the items to the customers. Advertising and exposure are significant media of mass correspondence. Advertising encourages buyers to think about the different brands fabricated by a few makers. The media used to publicize items are Radio, Papers, Magazines, television, the Web, Bulletin, and so on

Explanation:

Trade of products includes a few challenges, which are eliminated by helpers or strengthening underpins known as Aids to Trade.

Here, guides to exchange alludes to every one of those elaborate exercises, which straightforwardly or in a roundabout way encourages smooth trade of merchandise and enterprises.

At contract maturity the value of a call option is ___________, where X equals the option's strike price and ST is the stock price at contract expiration.
a. max (0, ST - X)
b. min (0, ST - X)
c. max (0, X - ST)
d. min (0, X - ST)

Answers

Answer:

A. Max (0, ST - X)

Explanation:

call option which is also known as a "call", can be regarded as a contract, that exist between both buyer as well as the seller of the call option, in so that security exchange at a set price can occur. It should be noted that At contract maturity the value of a call option is Max (0, ST - X) where X equals the option's strike price and ST is the stock price at contract expiration.

Given the following data:
Net sales $430,000
Cost of goods sold $80,000
Gross profit $350,000
Operating expenses $50,000
Net income $300,000
In vertical analysis, net income would be expressed as: (Round your final answer to the nearest whole percent)
A. 12%.
B. 81%.
C. 70%.
D. 19%

Answers

Answer:

C. 70%.

Explanation:

Calculation for the net income

Using this formula

Net income=Net income/Net Sales

Let plug in the formula

Net income= $300,000/ $430,000

Net income=70%

Therefore the net income would be expressed as 70%

Which of the following colors is highly variable and can be either cool or slightly warm, depending on how it is used?

Answers

Explanation:

Dark blue with dark red

A medical doctor is involved in a $1 million malpractice suit. He can either settle out of court for $250,000 or go to court. If he goes to court and loses, he must pay $825,000 plus $175,000 in court costs. If he wins in court the plaintiffs pay the court costs. Identify the actions of this decision-making problem. Remember, what an action is, something that the decision maker decides to do...

Answers

Answer:

there are two different actions in this decision making problem:

action 1: go to court and defend himselfaction 2: settle out of court and pay money to the plaintiff

Explanation:

When you are solving a problem and need to make to a decision, the actions are the result of what decision you finally decided to make. In this case, the doctor can decide to go to court or not. If he decides to go to court, he will have to defend himself in court. If he decides not to go to court, he will need to settle with the plaintiff without engaging in a court trial.

Jamison Company had sales revenue and operating expenses of $5,000,000 and $4,200,000, respectively, for the year just ended. If invested capital amounted to $6,000,000, the firm's ROI was:_________
A. 13.33%.
B. 83.33%.
C. 120.00%.
D. 750.00%.

Answers

Answer:

A,. 13.33%.

Explanation:

Return on Investment (ROI) which gives the efficiency of a particular investment

We were given invested capital amounted as $6,000,000, and operating expenses as $5,000,000

We can calculate net income by substracing equal sales revenue from operating expenses

net income can be calculated as = ($5000000-$420000)

= $800000

ROI can be calculated as

net income/Capital investment

$800000/$6000000

=. 13.33%.

A provider of oil for home heating systems is offering $100 off its first delivery to new customers. This is an example of which sales promotion tactic?
a. Contest
b. Free gift with purchase
c. Bonuses
d. Push money

Answers

Answer:

b. Free gift with purchase

Explanation:

The promotion tactic that the provider is trying to use is a Free gift with purchase. This is because by making your first every purchase the company is basically gifting you a certain amount of money through a discount of your purchasing total. Companies tend to do this in order to attract customers through the enticement of free money or products/gifts. They are able to do this because a single purchase will make them more profit than they are wasting on the gift and can lead to recurring customers.

When reflecting upon the newer generation, each older generation says the same thing:

Answers

Answer:

live long boomers

Explanation:

EASY ANSWER
You should plan to arrive _____ minutes early for an interview.

fifteen
ten
twenty
five

Answers

Answer:

10 or 15 bc of my mom

Explanation:

Answer:

Fifteen

Explanation:

Which management function is also a financial responsibility

A.planning
B.organizing
C.staffing
D.coordinating
E.controlling

Answers

I think it's A) Planning

Answer:

The CORRECT answer is...... Staffing

Explanation:

Look at the picture

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