Determining whether the balance sheet and related statements of income, retained earnings, and cash flows have been prepared in accordance with gaap is financial audit.
<h3>What is financial audit?</h3>
A financial audit can be described as the objective examination as well as the evaluation of the financial statements that is needed to be performed by an organization.
This is been done so that the financial records is been confirmed to be fair and accurate.
Clan Culture like the term implies refers to a type of corporate environment where a collaborative nature is encouraged and fostered such that people try to achieve common goals the way a clan would by being united and interested in the growth of one another because this will lead to the growth of the company as a whole.
In being friendly with staff and encouraging top management to try to get their team members to succeed, Ross is following a clan culture. This type of corporate environment is known to be the least competitive type as a result.
FIFO stands for First In First Out and LIFO stands for Last In First Out. Answer: LIFO produces more favorable cash flow because LIFO PRODUCES LOWER INCOME TAX EXPENSE. During inflation, LIFO approach is adopted for tax benefits. With the rise in prices, LIFO produces higher cost of sold amounts of goods.
