1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
n200080 [17]
3 years ago
13

A. explain the auditor’s justification for accepting the uncertainties that are inherent in the sampling process.

Business
1 answer:
Troyanec [42]3 years ago
8 0
<span>A. An auditor can accept the uncertainties in the sampling process since they have some idea in which financial statements errors are occurring. In this case their sample is not completely random. B. The formula AR = IR Ă— CR Ă— DR is often used to describe audit risk. Here, AR is audit risk, IR is inherent risk, CR is control risk, and DR is detection risk. Inherent risk is the risk of a report containing errors due to the complex nature of how the audited business runs. Control risk is the risk that an error may occur but may not be detected by the business itself. Detection risk is the risk that the auditor may fail to find errors that are present in the business' financial reports. C. An auditor may only sample, or inspect a fraction of a company's financial history. This is done for practical purposes, for there may not be enough time to inspect everything, or it may be too costly. If the auditor is issuing a test of controls, in which they are scrutinizing their target's internal procedures for detecting errors, then sampling may fail to see these errors.</span>
You might be interested in
The government might enact a price ceiling in order to accomplish what?
Leno4ka [110]

Answer:

c

Explanation:

3 0
3 years ago
"A customer is long the Swiss Franc at a cost of $.60 per SF. The customer wishes to place a collar on the position using PHLX S
tia_tia [17]

Answer:

To create the collar, the customer would: <u>buy 1 PHLX 59 SF Call and sell 1 PHLX 61 SF Call.</u>

Explanation:

The meaning of a "collar" is that a put is bought at a strike price that is less than the price of the underlying instrument (this implies that a floor has been put on the price of the instrument); and that a call is disposed at a strike price which is higher than the price of the underlying instrument (this indicates that a ceiling above which the instrument will be called away has been created).

When a collar is put on the price, it indicates that the customer is majorly giving a guarantee for the underlying instrument's minimum and maximum price.

This should make the net cost of the collar to be close to zero due to the fact that the two contracts are "out the money" and also because the premium paid to buy the put is offset by the premium received when the call was sold.

Therefore, since customer in the question wishes to place a collar on the position using PHLX SF FLEX options, he would <u>buy 1 PHLX 59 SF Call and sell 1 PHLX 61 SF Call</u> to create the collar.

3 0
3 years ago
Which best describes the similarity and differences between the Construction pathway and the Maintenance/Operations pathway?
Naddika [18.5K]

Answer:

into how many geographical region Nepal has divided? describe them in a few line

8 0
3 years ago
There have been several instances in the last 150 years when valuable materials such as diamonds have been found contained in gl
Lana71 [14]

Answer:

<u>Lateral moraine</u>

Explanation:

It is important to note the duration of years here; 150 years ago. The Lateral moraine is a very familiar image when dealing with glaciers.

Therefore, the Lateral moraine would be most useful for tracing valuable gold deposits back to their bedrock source area since it is also an unconsolidated debris that is found on the side of glaciers.

6 0
3 years ago
One bag of flour is sold for $1.50 to a bakery, which uses the flour to bake bread that is sold for $4.00 to consumers. a second
ale4655 [162]
GDP stands for gross domestic product. The GDP allows economist to measure the market value in terms of money. They are measuring the final good or service that is being offered to a customer over any given time. 

Since the first bag of flour is being sold to a bakery to make bread from and sell for $4.00 the GDP of this item is $4.00 because that is the cost a customer is paying.

The second bag of flour is sold to a customer for $2.00 in a grocery store and is the final cost a they are paying.

In this scenario, the GDP for the two products being sold to a customer is $6.00.
3 0
3 years ago
Other questions:
  • David and Bella started a new company and decided that the net profit will be divided in a 6:7 ratio respectively. At the end of
    8·1 answer
  • Lindley company is interested in verifying previous job responsibilities held by its applicants. the selection technique that wi
    10·1 answer
  • Home town grocery has invested in yogurt stands for its stores. the investment cost the company $100,000. variable materials, pr
    7·1 answer
  • Service quality greatly depends on the quality of the buyer-seller interaction during the service encounter. this is known as​ _
    8·1 answer
  • Sean is in the business of buying and selling stocks and bonds. He has a bond of Green Corporation for which he paid $200,000. T
    9·1 answer
  • g "Seidman Company manufactures and sells 30,000 units of product X per month. Each unit of product X sells for $16 and has a co
    11·1 answer
  • If the cost of producing orange juice​ increases, the equilibrium price of orange juice will​ ________ and the equilibrium q
    11·1 answer
  • If a company made a bank deposit on September 30 that did not appear on the bank statement dated September 30, in preparing the
    10·1 answer
  • Brown Corporation has 500,000 shares of 9%, $40 par value cumulative preferred stock authorized, 100,000 shares issued, and 80,0
    9·1 answer
  • The following standards for variable overhead have been established for a company that makes only one product:
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!