
Accounting Information Systems (13th Edition)
13th Edition
ISBN: 9780133428537
Author: Marshall B. Romney, Paul J. Steinbart
Publisher: PEARSON
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Chapter 5, Problem 4P
a.
To determine
State any two company pressures that can increase the likelihood of fraudulent financial reporting.
b.
To determine
State any three corporate opportunities that make fraud easier to commit making their detection very hard.
c.
To determine
State the external environmental factors that must be considered is assessing the risk associated with fraudulent financial reporting in each case.
d.
To determine
State the counter measures adopted by the management to reduce the possibility of fraudulent financial reporting.
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Gayle Industries applies overhead costs to jobs based on direct labor cost. Job X, which was started and completed during the current period, shows charges of $7,400 for direct materials, $12,000 for direct labor, and $7,800 for overhead on its job cost sheet. Job X2, which is still in process at year-end, shows charges of $4,100 for direct materials and $7,500 for direct labor.
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Accounting Information Systems (13th Edition)
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- Assume that a company paid $6 per share to purchase 1,100 of its $3 par common as treasury stock. Assume that a company paid $6 per share to purchase 1,100 of its $3 par common as treasury stock. The purchase of treasury stock:arrow_forwardDuring its first year. Concord, Inc., showed a $33 per unit profit under absorption costing but would have reported a total profit of $19,300 less under variable costing. If production exceeded sales by 825 units and an average contribution margin of 77% was maintained, what is apparent: a. Fixed cost per unit? b. Sales price per unit?arrow_forwardThe following data relate to direct labor costs for the current period: Standard costs: 7,200 hours at $18.25 Actual costs: 7,000 hours at $19.10 What is the direct labor rate variance?arrow_forward
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