Tighe Won a New Automobile from His Employer for Being

question 73

Multiple Choice

Tighe won a new automobile from his employer for being the top salesperson in the entire firm.The auto cost the employer only $34,000 because he purchased a fleet of cars from the dealer; it had a retail price of $37,000.In addition, Tighe's employer gave him $5,000 with which to pay the taxes on the prize.How much must Tighe include in his gross income?

• A)$42,000
• B)$37,000
• C)$35,000
• D)$32,000

Acquire the ability to journalize transactions involving notes receivable, including dishonor and subsequent actions.

Understand the concept and components of internal control systems over cash.

Recognize the importance of segregating duties in maintaining a strong internal control system.

Identify the internal control objectives related to safeguarding assets, ensuring financial report accuracy, and compliance with laws.

---

Definitions:

Small Bag

A diminutive container used for carrying personal items or purchases, typically hand-held or shoulder-mounted.

Large-Sample Z

A statistical method used to approximate the significance of difference between means, applicable when sample size is large and variances are known or assumed to be equal.

Corresponding P-Value

The probability of obtaining a test statistic at least as extreme as the one that was actually observed, assuming that the null hypothesis is true.

Null Hypothesis

A hypothesis that suggests there is no statistical significance between the two variables being studied or no effect of a treatment.