Answer:
In this scenario, the following options are correct:
c.To avoid creating legal liability for your company.
e.To make the receiver understand the bad news.
Explanation:
- In our case, the options c and e are correct because if we are in a agreement with the shipping company then we have to fulfill the legal requirements and other obligations so that we don't have to face the legal issues in this case.
- Moreover, the letter will make the company full aware of the situation that why we are terminating our business relationship with them so that all the things remain clear.
- All other options are not valid in our scenario, like option a because we don't want to continue more correspondence with them due to their bad services. Similarly, the letter is intended to make them understand we don't want more business with them. We don't want the company that we are angry as it is not enough rather we do want to understand the whole scenario that they are not doing good business as well as we are going to end business with them.
The bail-out money that exited to giant financial organizations like citibank and goldman sachs beside with general motors and Chrysler came from the troubled assets relief program. The troubled assets relief program is a program of the united states government to buy toxic assets and equity from financial organizations to reinforce its monetary sector that was employed into law by president george w. bush on october 3, 2008.
Answer:
Required by Sarbanes-Oxley (SOX) to be documented and certified if the company's stock is traded on an exchange (a public company).
Explanation:
Internal controls can be defined as the policies, set of rules, and procedures implemented or put in place by an organization to protect its assets, boost efficiency, enhance financial accountability, enforce adherence to company policies and prevent fraudulent behaviors among the employees.
The purpose of internal controls is that companies use strong internal controls to guarantee that loss is eliminated as there's an accurate and reliable accounting system.
Basically, an internal control involves the timely use of both internal and external sources of auditing or financial reporting and as such enhance the maintenance of accurate and proper financial records which would also improve their operational efficiency.
Internal control systems are required by Sarbanes-Oxley (SOX) to be documented and certified if the company's stock is traded on an exchange (a public company).
Answer:
A. Dr Cash $100,000
Cr Notes Payable $100,000
B. Dr Interest expense $1,500
Cr Interest Payable $1,500
Explanation:
a Preparation of the entry on April 1 when the note was issued.
Dr Cash $100,000
Cr Notes Payable $100,000
(To record note issued)
B. Preparation of any adjusting entries necessary on June 30 in order to prepare the semiannual financial statements
Dr Interest expense $1,500
Cr Interest Payable $1,500
($100,000 x .06 x 3/12)