Devrij Company is a privately held manufacturer of cellphones. Its financial statements show the following: Total expenses: $3,500,000, Total assets: $19,500,000, Total revenues: $8,000,000, Total liabilities: $6,500,000, During the audit, the auditor detected three misstatements in the following accounts: Notes Payable: $125,000, Land: $20,000, Building: $70,000. Based on the above information: One single misstatement is greater than the tolerable misstatement The aggregated misstatements are greater than the planning materiality Each single misstatement is greater than the tolerable misstatement Two single misstatements are greater than the tolerable misstatement

Devrij Company is a privately held manufacturer of cellphones. Its financial statements show the following: Total expenses: $3,500,000, Total assets: $19,500,000, Total revenues: $8,000,000, Total liabilities: $6,500,000, During the audit, the auditor detected three misstatements in the following accounts: Notes Payable: $125,000, Land: $20,000, Building: $70,000. Based on the above information: One single misstatement is greater than the tolerable misstatement The aggregated misstatements are greater than the planning materiality Each single misstatement is greater than the tolerable misstatement Two single misstatements are greater than the tolerable misstatement

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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