Answer:
The change in checking deposit is equal to $22,727.27.
Explanation:
An amount of $2,500 is deposited in a checking account.
The required reserve ratio is 0.11 or 11%.
A part of this deposit will go to the required reserve and the rest will be added in the checking deposit of the bank.
The change in the checking deposits will be
= 
amount deposited
= 
= $22,727.27
Answer:
Each manager should be evaluated on the costs but not the revenues that are under his or her control.
Explanation:
Controllability refers to the amount of influence that a manager has over costs or revenues. In responsibility accounting, only those elements are identified which are controllable. A person is given the responsibility for managing such kind of elements.
A person is given an authority to control the costs so that they are able to keep up their performance.
However, according to the controllability concept to responsibility accounting,
each manager should also be evaluated on the revenues that are under his or her control.
Answer:
$30,000
Explanation:
A supplemental disclosure of cash flow information requires that all the cash paid in interest during the period must be disclosed.
In Ash's case:
beginning balance interest payable account $15,000
+ interest expense during the year $20,000
<u>- ending balance interest payable account ($5,000) </u>
supplemental disclosure = $30,000
Answer:
B. Comparison of recorded amounts of major disbursements with appropriate invoices.
