Please what is correct option and incorrect option with explanation without plagiarism please A portion of the raw materials inventory was misclassified as finished goods on the balance sheet. Please indicate whichof the following management assertions regarding inventory is being violated.O Existence and OccurrenceO CompletenessO Valuation or accuracyO Rights and obligationsO Presentation and disclosures

In the auditing process, assertions are claims that determine that financial statements are genuine…

Answered: portion of the raw materials inventory…

portion of the raw materials inventory was misclassified as finis f the following management assertions regarding inventory is be Existence and Occurrence Completeness O Valuation or accuracy Riah

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: The Falcon Company does not maintain backup documents for its computer files. In June, some of the…

A: The "Cost of Goods Manufactured" (COGM) means all the expenses of the business are included in the…

Q: Hillsong Inc. manufactures snowsuits. Hillsong is considering purchasing a new sewing machine at a…

A: Net present value is computed as present value of cash inflows less initial investment.If NPV is…

Q: Jacob is a member of WCC (an LLC taxed as a partnership). Jacob was allocated $165,000 of business…

A: The Qualified Business Income (QBI) deduction, also known as the Section 199A deduction, is a tax…

Q: On January 1, 2020, Carla Company purchased $420,000, 10% bonds of Aguirre Co. for $389,086. The…

A: Bonds are debt instruments issued by an organization to raise money. The borrower is obliged to pay…

Q: The total book value of Booksellers Inc equity is €10 million. The stock has a market-to-book ratio…

A: WACC stands for Weighted Average Cost of Capital. It is a financial metric used to evaluate a…

Q: Conrad Smith, a business executive, is an avid collector of vintage comic books. In February, he…

A: The tax treatment of gains and losses on collectibles depends on whether the collector's primary…

Q: Hugh has the choice between investing in a City of Heflin bond at 7.4 percent or investing in a…

A: A bond is a type of loan that is made or issued by the company in the form of securities as…

Q: The Strawser-Morris Corporation uses a periodic inventory system and has used the FIFO cost method…

A: Beginning inventory under FIFO = $ 230,100Beginning inventory under Average Cost = $…

Q: XYZ Company recorded the following information related to their inventory accounts for 2020: Direct…

A: The product cost is computed by adding the direct materials cost, direct labor cost, and…

Q: Major Company reported 2024 income of $309,000 from continuing operations before income taxes and a…

A: Net income is the amount of money earned by the entity after deducting all the expenses from the…

Q: On January 2, 2021, Archer Company, a skateboard manufacturer, installed a computerized machine in…

A: DEPRECIATION EXPENSEDepreciation means gradual decrease in the value of an asset due to normal wear…

Q: Would you recommend the $3$3 price decrease? A. No, because the selling price decreases. B. No,…

A: Currently operating income No of unitx(Selling price-variable cost per unit) 10000(50-44)60000

Q: Lin Corporation began operations in January 2023 and purchased a machine for $23,000. Lin uses…

A: Lets understand the basics.When there is temporary difference arise between the taxable income and…

Q: During 2019 (its first year of operations) and 2020, Fieri Foods used the FIFO inventory costing…

A: Solution:a. Journal entry:DateGeneral JournalDebit $Credit $Retained Earnings 68…

Q: Luthan Company uses a plantwide predetermined overhead rate of $23.10 per direct labor-hour. This…

A: Overheads means all type of indirect costs and expenses being incurred in business. These costs can…

Q: Robinson Products Company has two service departments (S1 and 52) and two production departments (P1…

A: A corporation has a large number of departments, some of which are major departments where the bulk…

Q: Please correct and incorrect option explanation

A: Incorrect option: Option D: Under federal tax law for limited partnerships, the limited partners but…

Q: Please introduction and correct and incorrect option explain!

A: To find the Accounting Break-Even Quantity, we need to calculate the number of units that must be…

Q: Royal Lawncare Company produces and sells two packaged products-Weedban and Greengrow. Revenue and…

A: Income statement :— It is one of the financial statements that shows profitability, total revenue…

Q: The following information is available for Quality Book Saless sales of accu Accounts Receivable…

A: The allowance for uncollectible accounts has normal credit balance. The net realizable value is…

Q: Which of the following statements is CORRECT, assuming positive interest rates and holding other…

A: The time value of money defines that the money that you have today is valued more than in the…

Q: Required information Problem 17-6AA (Algo) Income statement computations and format LO A2 [The…

A: Net income is the profit that is left behind after subtracting all costs and expenses from revenue.…

Q: Blossom Corp. reports operating expenses in two categories: (1) selling and (2) general and…

A: Selling Expenses are those expenses which are related to the sales during the period. A portion of…

Q: In 2021, Jeremy and Celeste, who file a joint return, paid the following amounts for their daughter,…

A: Answer:- AOTC meaning:- For qualifying education costs incurred during the first four years of a…

Q: Prepare a classified balance sheet on December 31, 20X1 for Blimpy's.

A: A classified balance sheet is the presentation method of balance sheet in which only one thing is…

Q: Chemical Incorporated. has set the following standards for direct materials and direct labor for…

A: Variance analysis is one of the technique used in management accounting. Under this, all standard…

Q: The most recent financial statements for Mandy Company are shown here: Income Statement Balance…

A: Dividend payout ratio means out of earnings, how much is being distribuetd as dividends. Return on…

Q: Expense Recognition (or Matching) Principle The following information describes transactions for…

A: Accrual basis: Under accrual basis accounting, revenue and expenses are recognized when they are…

Q: Which of the following statements is correct? O Cost of goods sold computed under a periodic system…

A: Lets understand the basics.There are two inventory methods are followed which calculating inventory…

Q: A fast-food restaurant serves hamburgers, cheeseburgers, and chicken sandwiches. The restaurant…

A: Sales mix refers to the proportion of units sold in the case of multi product sales. In such cases,…

Q: The set of standards, assumptions, and concepts that form the "ground rules" for financial reporting…

A: The set of standards, assumptions, and concepts that form the "ground rules" for financial reporting…

Q: Ryan Terlecki organized a new Internet company, CapUniverse, Incorporated. The company specializes…

A: Journal Entries are the records of transactions of the organization. It is recorded as Debit and…

Q: The following items are necessary for preparing the 2024 year-end adjustments for Rogers Advertising…

A: The adjustment entries are prepared to adjust the revenue and expense of the current period. The…

Q: a) Compute the following ratios for each company. Round all answers to one decimal place (percentage…

A: · Ratio analysis used identify the business performance of the company.· It is used to…

Q: Time let Freddy runs a business selling clocks. He buys 894 clocks for $44 each (including GST) and…

A: GST Rate in Australia Goods and services tax (GST) is a tax of 10% on most goods, services and other…

Q: 1. Which project(s) should Capital Invest Inc. undertake during the upcoming year if it has only…

A: Capital Budgeting- Capital budgeting is the method in which various investments are analysed and the…

Q: Which of the following statements is not true of the accrual basis of accounting? O a. The accrual…

A: As per accrual basis of accounting the revenue and expense should be recognised as and when accrued.…

Q: Robin Company reported the following costs for the current month: Direct materials used Direct labor…

A: Conversion costs are the total of direct labor and factory overhead costs that convert the raw…

Q: Exercise 8-7 (Algo) Cash Budget [LO8-8] Garden Depot is a retailer that is preparing its budget for…

A: Budgeting is a method of estimating expected future outcomes based on past events. Budgeting…

Q: The 5s principle specifically defines a system for organizing and standardizing the workplace. What…

A: 5S seems to be a useful technique for detecting and reducing unproductive organizational activities.…

Q: Rylan Corporation received an offer from an exporter for 25,000 units of product at $16 per unit.…

A: Incremental Analysis :— This analysis shows the comparison between two different alternatives. A…

Q: Beale Management has a noncontributory, defined benefit pension plan. On December 31, 2024 (the end…

A: Journal Entry is the primary step in recording the transactions in the books of accounts.The…

Q: This is a more difficult but informative problem. James Brodrick & Sons, Incorporated, is growing…

A: Here,Year12345Earnings after Tax $ 100.00 $ 126.00 $ 166.00 $ 224.00 $…

Q: Multiple Choice O If a company has total revenues of $80,000, total expenses of $50.000 and…

A: The assets are said to me the ones that will generate future economic benefits. The assets on the…

Q: Use the following bond quote Company in Systems Symbol ISU GO Coupon 650% Maturity May, 2032 Rating…

A: The face value of the bond is $100.The market value of the bond is $93.231.The coupon rate 6.850%…

Q: Franklin purchases 40 percent of Johnson Company on January 1 for $568,700. Although Franklin did…

A: The company investing in another company can use the equity method to account for the investment.…

Q: On January 1, Beckman, Inc., acquires 60 percent of the outstanding stock of Calvin for $41,568.…

A: A non-controlling interest (NCI), is also called a minority interest, It is a stake in a subsidiary…

Q: a. b. C. d. e. f. g. h. Inventory turnover ratio in 2020 Debt/equity ratio in 2020 Cash flow from…

A: (c) Cash flow from operating activities in 2020:Net income354300Adjustments to reconcile net income…

Q: Start Me Up Incorporated manufactures a caffeinated energy drink that sells for $4.30 each. The…

A: The income statement is one of the important financial statements of the business. It tells about…

Q: San Lorenzo General Store uses a periodic inventory system and the retail inventory method to…

A: Inventory, based on its intended use and where it is in the manufacturing or distribution process.…

Question

Please what is correct option and incorrect option with explanation without plagiarism please

A portion of the raw materials inventory was misclassified as finished goods on the balance sheet. Please indicate which
of the following management assertions regarding inventory is being violated.
O Existence and Occurrence
O Completeness
O Valuation or accuracy
O Rights and obligations
O Presentation and disclosures

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: Introduction:

VIEW

Step 2: Assertions used for Inventory

VIEW

Step 3: Explanation

VIEW

Solution

VIEW

Step by step

Solved in 4 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Financial Reporting in Hyperinflationary Economies

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.