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Volgvan
2 years ago
11

In assessing control risk for purchases, an auditor agrees a sample of entries in the voucher register to the supporting documen

ts. which assertion would this test of controls most likely support?
Business
1 answer:
LekaFEV [45]2 years ago
3 0

In assessing control risk for purchases, an auditor agrees a sample of entries in the voucher register to the supporting documents. The assertion would this test of controls most likely support is "<u>Existence or occurrence"</u>.

<h3>What do you mean by Existence assertion?</h3>

The term assertion refers to as the term that describe Confident/ forceful statement of fact or belief.

The existence assertion is refers to as the assertion that include the assets, liabilities and shareholders' equity balances that are shown on a firm's financial statements.

Adding to it, existence assertion is necessary for auditor because through this he/she collect whatever evidence is mandatory to create a link between value on records and real world counterparts.

Learn more about assertion, refer to the link:

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The account Work-in-Process Inventory: Group of answer choices Consists of completed goods that have not yet been sold. Consists
Rudiy27

Answer:

Consists of goods being manufactured that are incomplete.

Consists of materials to be used in the production process.

5 0
3 years ago
Read 2 more answers
Which of the following is correct?
SpyIntel [72]

Answer:

Health insurance plans may reimburse an individual for hospital stays, doctors' visits, and medications.

Explanation:

Depending on the event and the insurance plan you have you might be able to ask for a reimburse of the medical bills you paid.

4 0
3 years ago
A firm has an equity beta of 1.2, the risk-free rate is 3.4 percent, the market return is 15.7 percent, and the pretax cost of d
Alik [6]

Answer:

0.82

Explanation:

Calculation to determine the firm's asset beta

Using this formula

Firm's asset beta=Equity beta/(1+/D/E)

Let plug in the formula

Firm's asset beta=1.2/(1+0.47)

Firm's asset beta=1.2/1.47

Firm's asset beta=0.816

Firm's asset beta=0.82 (Approximately)

Therefore the firm's asset beta is 0.82

5 0
3 years ago
A time draft payable to a seller of goods with payment guaranteed by a bank is a:_____.
Alexeev081 [22]

A banker's acceptance is the payment guaranteed by a bank for a time draft that is payable to a seller of the goods.

A banker's acceptance is a short-term investment plan that is created by a company or firm with a guarantee from a bank. It is important that the company or firm is a non-financial firm. It is a guarantee that the bank gives that a buyer will pay the seller the amount at a future date. A good rating is a prerequisite for obtaining the banker's acceptance.

This is very useful, especially during foreign trade. During foreign trade, the creditworthiness of the importer is not known. The period of the banker's acceptance is usually lesser than 180 days. These acceptances are traded at discounts from the face value in the secondary markets. So, the banker's acceptance acts as a negotiable time draft.

This guarantee from the bank is a written promise by the bank to the seller to pay the sum specified if the buyer is not able to do so. This promise is backed by the bank so the seller feels confident in exporting his goods. As it is safe and liquid, the return on the banker's acceptance is low.

Learn more about banker's acceptance here:

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3 0
2 years ago
falsely claiming that a competitor's product is defective or harmful might constitute defamation or product disparagement. true
jonny [76]

Falsely claiming that a competitor's product is defective or harmful might constitute defamation or product disparagement. This statement is true.

<h3>What is the definition of competition?</h3>

In business, competition is always a factor. Whether it is two companies vying for the same customer base, or two employees vying for the same promotion, competition is a natural part of the business world. However, there is a line that should not be crossed when it comes to competition. Falsely claiming that a competitor's product is defective or harmful might constitute defamation or product disparagement.

Defamation is defined as a false and unprivileged publication by writing, printing, picture, effigy, or other fixed representation to the eye, which exposes any person to hatred, contempt, ridicule, or obloquy, or which causes him to be shunned or avoided, or which has a tendency to injure him in his occupation. Product disparagement is similar, in that it is a false and injurious statement made about a competitor's product.

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3 0
1 year ago
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