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kkurt [141]
3 years ago
15

Company management completes event identification and analyzes the risks. The company wishes to assess its risk after management

's response to the risk. According to COSO, which of the following types of risk does this situation represent?
A. Detection risk.
B. Inherent risk.
C. Residual risk.
D. Event risk.
C. Residual risk.

Business
1 answer:
r-ruslan [8.4K]3 years ago
7 0

Answer:

Residual risk

Explanation:

Is a type of risk whose threat(s) is not completely removed even after putting all control measures in place. It is calculated as:

Residual risk = inherent risk minus effect of risk control.

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A change in Accounting Method would be necessary because of which of the following circumstances?
charle [14.2K]

Answer:

b) A decrease in ownership percentage from 25% to 15%

Explanation:

There is change in accounting method when the shareholding is 20% or more.

Under Consolidation there are two methods:

Equity method: This is used when the shareholding is 20% or more, and there is significant influence. Under this method all the assets and liabilities are accumulated in the consolidated balance sheet.

Proportional Consolidation method: This is generally used when the shareholding is merely shown as an investment, and the balances of assets and liabilities are not accumulated.

Thus, there is a change in method of accounting when the shareholding is more than 20%. This is in case b as change is from 25% to 15% and thus, it will change from equity method to proportional consolidation method.

5 0
3 years ago
Suppose the price elasticity of supply for gasoline in the short run is estimated to be 0.4. Due to an unexpected surge in the d
oee [108]

Answer:

8%

Explanation:

The formula and the computation of the price elasticity of supply is shown below:

Price elasticity of supply = (Percentage change in quantity supplied ÷ percentage change in price)

where,

Price elasticity of supply = 0.4

And, the percentage change in price = 20%

So, the percentage change in quantity supplied is

= Price elasticity of supply × the percentage change in price

= 0.4 × 20%

= 8%

It shows a direct relationship between the quantity supplied and the price.

6 0
4 years ago
A multinational enterprise (MNE) is defined as a firm that: exports more than it imports. sells in many markets around the globe
meriva

A multinational enterprise (MNE) is defined as a firm that operates and controls production or distribution facilities in more than one country.

<u>Explanation:</u>

According to Franklin Root MNE is a company that,

  • engages in foreign manufacturing or production via its other branches located in several other countries.
  • handles direct control over the policies of its own affiliates
  • implements various strategies in marketing, manufacturing, staffing and finance that transcend the national boundaries.

In some cases, the ownership of the MNEs are dispersed internationally and these corporations are known as transnational corporations (managed generally from global perspective).

7 0
3 years ago
Mitchell hires christina to go from florida to new york and negotiate a contract for his company. he gives her specific instruct
almond37 [142]
It is most likely under the principal's duty of <span>reimbursement
principal's duty of reimbursement a principal duty that require employer to give back the amount of money that its employees have to give from their own pocket in order to pay for all the expenses that are necessary for those employees to fulfill the duty that assigned by the employer.</span>
6 0
3 years ago
Which of the following statements is true? Group of answer choices When you invest money, you are taxed each year on any capital
Misha Larkins [42]

Answer:

Interest earned on an investment is considered to be tax free until you sell the investment.

Explanation:

Time Value of Money is Simply know as to the truth or fact that money received today is worth more money received next year or the year after it.

Future Value is the rate or amount of money an investment will grow to over some period of time at some given interest rate. Investment is simply known as the buying or purchase of assets with the aim of increasing future income and interest.

After-tax rate of returns of investments depends on Before-tax rate of return., When investment income and gains are taxed,Taxed annually, e.t.c.

3 0
3 years ago
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