Auditing And Assurance Services
Auditing And Assurance Services
17th Edition
ISBN: 9780134897431
Author: ARENS, Alvin A.
Publisher: PEARSON
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Chapter 26, Problem 16.2MCQ
To determine

Identify how an auditor should express his views on a report which is prepared after an audit of a federal financial assistance program in accordance with the Single Audit Act and contains evidence of non-compliance that has a material effect on the program.

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Michael Manufacturing has a material standard of 3.5 pounds per unit of output. Each pound has a standard price of $18 per pound. During May, Michael Manufacturing paid $126,000 for 7,000 pounds, which were used to produce 1,900 units. What is the direct materials quantity variance?
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