Which of the Following Statements Concerning the Single Audit Act

question 46

Multiple Choice

Which of the following statements concerning the Single Audit Act of 1984 (with 1996 amendments) is correct?

• A) Only those entities receiving over $750,000 a year in federal financial assistance are required to have a single audit.
• B) Those entities expending under $750,000 a year in federal awards may be exempt from single audit requirements.
• C) The Single Audit Act only applies if an entity has high risk programs.
• D) The single audit is optional for all entities receiving federal awards.

Determine collections for specific months using the accounts receivable period and sales data.

Understand how to calculate inventory purchases required for future sales based on cost of goods sold percentages and inventory policies.

Analyze cash flow by calculating cash collections and disbursements based on sales, policies, and operational cycles.

Calculate the length of the cash cycle using turnover rates and payment periods.

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Definitions:

Dilemma of Trust

A situation in which trust is critical yet difficult to establish, often due to previous experiences of betrayal or conflicting interests.

Yielding Strategy

A negotiation technique involving giving in to some or all of the other party's demands.

Intangible Factor

An element in negotiations that cannot be easily quantified or measured, such as reputation or brand value.

Final Agreed Upon Price

The last price that all parties involved in a negotiation consent to, marking the completion of the negotiation process.