Answer:
a. Compare the details of cash receipts with journal entries.
b. Prepare a bank transfer schedule.
c. Confirm the terms of borrowing with the lenders agreement.
d. Send request to confirm the entity's account receivable balance.
e. Inspect payroll data of employees and cross check with the transaction recorded.
f. Obtain cut off bank statement to reconcile the transaction.
g. Examine the selected repair order and physically examine the equipment whether repair work is don or not.
h. Examine the supporting documents for the invoice such as purchase order, goods received note and Purchase requisitions.
i. Inspect the payroll endorsements for similar handwriting.
Explanation:
Audit is mandatory for all the companies. The verified financial statements are considered as reliable because they are rechecked by the auditors and if any error or fraud is found it is immediately corrected and rectified. Audit is a critical process which involves objectivity and integrity of a person. The auditors must be independent and they should not have any familiarity with the business employees or owners.
Answer: A. maximizes the profits from money management.
Explanation:
The optimal average level of money is indeed the amount that maximises profit from money management.
Money management is essentially taking charge of your money and ensuring that you manage it in such a way as to limit unnecessary expenses whilst growing money through measures such as budgeting, investing and expenses tracking.
With Mr Peabody's income and other financial constraints, the optimal average level of money will be the most he can maximise from managing his money.
Answer:
Decline & Downward
Explanation:
Taylor rule states that when the current inflation is higher than the target inflation the central bank should increase the interest rates. Therefore, central banks that does not follow Taylor rule, will not increase the interest rate in case of higher inflation expectation that eventually lead to:
- Decline in real interest rates (difference between interest rate & nominal inflation), as nominal inflation is increasing and interest rates are unchanged.
- Downward sloping curve as short term inflation expectations are higher
The right of ___ is when businesses can compete against each to sell their goods and services to buyers.
I believe it is the right of ||competition|| because it is when businesses ||compete|| against eachother.
Answer:
Sole proprietorship
Explanation:
If you want to minimize taxes and avoid double or even triple taxation, your options are a sole proprietorship, a partnership (general or limited liability) or a limited liability company. The IRS considers them pass through entities, so they are not taxed directly, you are.
But if you want to exercise total control over your business, the options narrow down to only a sole proprietorship because all the others involve other people being co-owners of the business.
