Answer:
<h2>The accounting scandals of the early 2000s</h2>
led many people to question the legitimacy of:
allowing an accounting firm to do both consulting and auditing work for the same company.
Explanation:
1) Enron and WorldCom fell from grace during the scandal. And Sarbanes Oxley Act of 2002 was introduced to regulate the practise of auditing, which was before self-regulated.
2) People felt that accounting firms were getting so much revenue from consulting that they did not pay much attention to their auditing work.
3) They also felt that the consulting relationship was jeopardizing their responsibilities and commitments as independent auditors.
4) Since they were involved in consulting and offering management services, they paid a lip service to their main responsibilities and directly compromised their positions as verifiers of the truth and fairness in the presentation of financial statements.
5) According to Paul Krugman of The New York Times, “the Enron debacle is not just the story of a company that failed; it is the story of a system that failed. And the system didn’t fail through carelessness or laziness; it was corrupted.” People felt that the corruption arose from the performance of these separate services by the same auditing personnel and firm.
Answer:
$600
Explanation:
Given:
Total number of week = 50 Trip
Each trip cost = $3
Number of working days in a week = 5
After 10% Inflation rate number of trip = 50 (one day in a week = 1 x 50 weeks )
Calculation:
Without inflation Trip = 50 trip x 5 Days
= 250 trip
After Inflation = 250 - 50 Trips
= 200 Trips
Total cost = 200 x 3$
= $600
Answer:
a.Realised Loss of Yanci's Personal Residence is $20,000 . Recognised Loss is Zero
b. Recognised Gain= $25.000
c. the realised gain will be $460.000
Explanation:
A. Realised Gain= Condemnation Proceeds-Adjsuted basis
= $460000-$480000
($20000)
Realised Loss of Yanci's Personal Residence is $20,000 . Recognised Loss is Zero
B. Realised Gain in case Condemnation proceeds are $505.000
Realised Gain= $505.000-$480.000
=$25,000
Recognised Gain= $25.000
C. If the House is rental property then the realised gain will be $460.000
Components that should be included could be total number of employees, number of staff and numbers of hourly workers, length of employment for each worker, hourly rates for the hourly workers and pay raises according to the collective bargaining, and staff salaries, and productivity of say the hourly employees like in a mine, tonnes produced per manhour for the miners at the face or in the open pit for example.
Answer:
The future value in 5 years is $3,184.87
Explanation:
The figure is arrived by calculating the future of the yearly total service of $600($3*200) by using applicable annuity factor for each of the years from year 1 to 5.
The annuity factor for each year is calculated as (1+r)^n, where r is the rate of return of 2% and the n the year in which the service fee relates to.
Kindly find attached for detailed computations.
