What business risks does Toll Brothers face that may threaten the company’s ability tosatisfy stockholder expectations? What are some examples of control activities that thecompany could use to reduce these risks? (Hint: Focus on pages 10–11 of the 10-K.)

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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What business risks does Toll Brothers face that may threaten the company’s ability to
satisfy stockholder expectations? What are some examples of control activities that the
company could use to reduce these risks? (Hint: Focus on pages 10–11 of the 10-K.)

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The Toll brother’s faces numerous business risks that are described in the annual report. Apart from annual report the students may mention other risks also. There are four risks faced by Toll brother’s with the suggested control activities is explained below.

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