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3 years ago

According to the PCAOB, an accounting firm's independence is least likely to be impaired if the firm

Business

1 answer:

sweet [91]3 years ago

7 0

Answer:

The correct answer is B. Receives a commission from the audit client.

Explanation:

In the "Basis for opinion" section, a statement is required that the auditor:

• It is a public accounting firm registered with the PCAOB and

• You are required to be independent in relation to the company in accordance with the federal securities laws of the United States and the applicable rules and regulations of the SEC and the PCAOB.

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The Duerr Company manufactures a single product. All raw materials used are traceable to specific units of product. Current info

Gemiola [76]

Answer:

Direct material used= $102,000

Cost of goods manufactured= $327,000

COGS= $347,000

Explanation:

First, we need to calculate the cost of direct material used:

Direct material used= beginning inventory + purchases - ending inventory

Direct material used= 28,000 + 105,000 - 31,000

Direct material used= $102,000

Now, the cost of goods manufactured:

cost of goods manufactured= beginning WIP + direct materials used + direct labor + allocated manufacturing overhead - Ending WIP

cost of goods manufactured= 40,000 + 102,000 + 130,000 + 105,000 - 50,000

cost of goods manufactured= $327,000

Finally, the cost of goods sold:

COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory

COGS= 80,000 + 327,000 - 60,000

COGS= $347,000

6 0

2 years ago

Perine, Inc., has balance sheet equity of $5.4 million. At the same time, the income statement shows net income of $783,000. The

S_A_V [24]

Answer:

The target stock price in one year is $149.93

Explanation:

Fly Away, Inc., has

Balance sheet equity of (E) = $ 5,400,000

Also, the income statement shows net income of (NI) = $783,000.

The company paid dividends of (D) = $438,480

Shares of stock outstanding (N) = 100,000

Benchmark PE ratio = 18

Question = what is the target stock price in one year?

We need the expected EPS at the end of next year and not this year.

EPS this year, E₀ = NI / N

= 783,000 / 100,000

= $ 7.83

Retention Ratio, "R" = 1 - Dividend payout ratio = 1 - D/NI

= 1 - 438,480 / 783,000

= 1 - 56.00%

= 44.00%

Return on equity, ROE = NI / E

= 783,000 / 5,400,000

= 14.50%

Growth rate in earnings, g = R x ROE

= 44.00% x 14.50%

= 6.38%

Hence, expected EPS next year, E₁ = E₀ x (1 + g)

= $ 7.83 x (1 + 6.38%)

= $ 8.33

Hence, target price next year, P = Benchmark PE ratio x E₁

= 18 x $8.33

= $149.93

The target stock price in one year = $149.93

4 0

3 years ago

A project manager may also be the project champion. true

KiRa [710]

The statement is true. A project manager may "also" be the project champion. But it is not mandatory. But there are possibilities that the project manager is also an expert the in project he is handling. Thus, the above statement is true. If the statement would have been - The project manager will be or needs to be the project champion, then it would be false statement.

6 0

2 years ago

25 points

drek231 [11]

Answer:

transition color

Explanation:

i just finished the test

6 0

3 years ago

Consider the following information: Rate of Return If State OccursState ofProbability ofEconomyState of EconomyStock AStock BSto

grigory [225]

Answer:

Expected Return Boom = 0.29(0.353) + 0.42(0.453) + 0.29(0.333)

Expected Return Boom = 0.3892

Expected Return Boom = 38.92%

Expected Return Good= 0.29(0.123) + 0.42(0.103) + 0.29(0.173)

Expected Return Good = 0.1291

Expected Return Good = 12.91%

Expected Return Poor = 0.29(0.013) + 0.42(0.023) + 0.29(-0.053)

Expected Return Poor = - 0.00194

Expected Return Poor = - 0.194%

Expected Return Bust = 0.29(-0.113) + 0.42(-0.253) + 0.29(-0.093)

Expected Return Bust= - 0.166

Expected Return Bust= - 16.6%

a. Expected return portfolio = 0.3892*0.18 + 0.1291*0.42 + 0.32*- 0.00194 + 0.08*- 0.166

Expected return portfolio = 0.1104

Expected return portfolio = 11.04%

b. Variance = 0.18*(0.3892-0.1104)^2 + 0.42*(0.1291-0.1104)^2 + 0.32*(- 0.00194-0.1104)^2 + 0.08*(- 0.166-0.1104)^2

Variance = 0.02429

c. Standard Deviation = (0.02429)^(0.5)

Standard Deviation = 0.1558

Standard Deviation = 15.58%

3 0

2 years ago