Answer: A reversing entry: <em><u>"is the exact opposite of an adjusting entry made in a previous period.".</u></em>
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Explanation: Reversion entries are an end-of-the-year technique that involves the reversal, on the first day of the new accounting period, of those end-of-year adjustment entries that cause expenses or income and therefore will result in payments or cash receipts. Its purpose is to allow company personnel to record routine transactions in a standard manner without referring to previous adjustment entries.
Answer: Option (b) is correct.
According to Securities and Exchange Commission independence code: Pre-approval of accountants' work may be in reconciliation with comprehensive policies and transaction rather than categorical.
The Commission’s code, principally through Regulations S-X, focuses on the accomplishment of accountants, counting the autonomy condition for auditors that issue audit filed with Commission.
Answer:
Reports net income and then adjusts it for items necessary to determine net cash provided or used by operating activities.
Explanation:
FASB is an acronym for Financial Accounting Standards Board. The financial accounting standards board (FASB) is a private, non-profit organization saddled with the responsibility of establishing and maintaining standard financial accounting and reporting for general guidance of individuals such as investors, issuers and auditors. It was founded in 1972 but began operations fully on the 1st of July, 1973 by replacing the Accounting Principles Board (APB) and American Institute of Certified Public Accountants (AICPA).
When the operating activities section of the statement of cash flows is reported using the indirect method, the FASB requires that, you report net income and then adjusts it for items necessary to determine net cash provided or used by operating activities.
Hence, the indirect method for the preparation of the operating activities section of the statement of cash flows reports net income and then adjusts it for items necessary to determine net cash provided or used by operating activities.
Some examples of operating activities are cash revenue from the sales of a product, cash paid as an expense for merchandise etc.
Answer:
The containment doctrine.
Explanation:
American government's fear of Soviet expansion (communism) triggered the entrance of the US into the cold war. During the 1940s the US developed an strategy of nuclear deterrence since it lacked sufficient amount of troops to confront the Soviet army in eastern Europe. The Truman Doctrine helped to expand the cold war to the whole world.
Answer:
B. Conflict between professionalism and commercialism
Explanation:
The conflict between professionalism and commercialism speaks to the debate on satisfying the management of an organisation as an auditor in order to meet economic situations and the need to be professionally independent of management in order to make a true and fair statement of the state of the organisation available to the shareholders as well as potential investors and the general public.
Because the management of an organisation runs the day to day affairs of that organisation, the Auditor in performing his duty interacts more with management and as such, the security of his future engagements may depend on favourable opinions of the management. This is commercialism
However, professionalism dictates that ethically, irrespective of the position of the management of an organisation, an auditor should always report the true and fair state of the business.
This represents the conflict expressed by Lynn Turner.
