What cutoff misstatements can arise if the FOB terms for sales shipped are not properly accounted for?

Question:

What cutoff misstatements can arise if the FOB terms for sales shipped are not properly accounted for? What about for inventory received?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Auditing An International Approach

ISBN: 978-0071051415

6th edition

Authors: Wally J. Smieliauskas, Kathryn Bewley

See More Books

Question Posted: Jan 09, 2015 09:38 AM

See More Questions

If goods in transit are shipped FOB destination a. No one has legal title to the goods until they are delivered. b. The seller has legal title to the goods until they are delivered. c. The...
If goods are shipped FOB shipping point, which party (buyer or seller) is responsible for the shipping costs?
What complications arise when firms are rationed in terms of their available capital budget?
Review each of the following independent sets of conditions. Required: Use AICPA sample size tables to identify the appropriate sample size for use in a statistical sampling application (ROO 5 risk...
Explain how you would make consistency checks for the questionnaire given in problem 2 using SPSS. SAS. MINITAB. or EXCEL
Kendrick pays a construction company $20,000 to remodel a house. Identify the tax issue(s) posed by the facts presented. Determine the possible tax consequences of each issue that you identify.
Two parallel-plate capacitors have the same plate area. Capacitor 1 has a plate separation twice that of capacitor 2 , and the potential difference you impose across the plates of capacitor 1 is...
Nelson Corporation has made the following forecast of sales, with the associated probabilities of occurrence noted. Sales Probability $200,000 ...... 0.20 300,000 ........ 0.60 400,000 ........ 0.20...
12. If the velocity-time graph has the shape AMB, what would be the shape of the corresponding acceleration-time graph? (A) a (B) (C) A (D) a A M B time(t)
You have observed the following returns over time: Assume that the risk-free rate is 6% and the market risk premium is 5%. a. What are the betas of Stocks X and Y? b. What are the required rates of...
How is information collected during the auditors attendance at the physical inventory count used in the audit of the inventory balance?
Describe the purpose of and give examples of audit procedures in the search for unrecorded liabilities.
In the diagram below, label the parts of the respiratory system and the structures that enclose some of its parts.
Although states may exercise their police power in a manner that has an incidental or indirect effect on aliens (immigrants], a state may not establish its own immigration policy or enforce state...
Explain how federal immigration law conflicts with the state worker's compensation law.?
"2021 Fund is given to Groups whose 2021 Actual is more than or equal to the 2021 What If. The fund is $1000,000 plus $350 for each 2021 Actual number that is more than 2021 What If number, minus...
How the explain the effect on immigration law, non-citizens and U.S. citizens?
Lab 10a - JavaScript Strings Functions Objectives Creating applications that use JavaScript strings to do useful stuff What to do in Lab? M 1. Log in to the computer. If you are reading this, you...
Outline potential problems you can imagine might occur with justintime scheduling.
What is your opinion of advertising awards, such as the Cannes Lions, that are based solely on creativity? If you were a marketer looking for an agency, would you take these creative awards into...
Who among these comes under the specialist manager? Training manager Finance manager Purchase manager HR manager
Various types of "accounting changes" can affect the second reporting standard of the generally accepted auditing standards. This standard reads, "The auditor must identify in the auditor's report...
The following tentative auditor's report was drafted by a staff accountant and submitted to a partner in the accounting firm of Better & Best, CPAs: AUDIT REPORT To the Audit Committee of American...
The following is an auditor's report prepared in accordance with International Standards on Auditing (ISAs) issued by the International Auditing and Assurance Standards Board (IAASB): INDEPENDENT...
Jorgansen Lighting, Incorporated, manufactures heavy-duty street lighting systems for municipalities. The company uses variable costing for internal management reports and absorption costing for...
Assume that the stock of South Gate Corporations sells for R108 and is expected to increase by a factor of 1.25 or decline by a factor of 0.83 in 10 months. As a portfolio analyst, you find a call...
Use the below information to calculate the profit or loss of a short call butterfly spread if the spot price of the underlying asset at maturity is R89.45. June 70 Call costs R1.18 June 70 Put costs...

What cutoff misstatements can arise if the FOB terms for sales shipped are not properly accounted for?

Question:

Step by Step Answer:

The FOB terms in force determine when title passes and are used to identify go...View the full answer

Auditing An International Approach

Students also viewed these Auditing questions