Which of the Following Procedures Is Ordinarily Performed by an Accountant

question 14

Multiple Choice

Which of the following procedures is ordinarily performed by an accountant in a compilation engagement of a nonpublic entity?

• A)Reading the financial statements to consider whether they are free of obvious mistakes in the application of accounting principles
• B)Obtaining written representations from management indicating that the compiled financial statements will not be used to obtain credit
• C)Making inquiries of management concerning actions taken at meetings of the stockholders and the board of directors
• D)Applying analytical procedures designed to corroborate management's assertions that are embodied in the financial statement components

Calculate equivalent units of production for conversion costs under FIFO.

Recognize how production costs impact the cost per equivalent unit under different costing methods.

Understand the differences between the weighted-average and FIFO methods in process costing.

Calculate the total cost to be accounted for in a process costing system.

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Definitions:

Influence

The capacity or power to affect someone's beliefs, actions, or decisions.

Debt-to-Income Ratio

A personal finance measure comparing an individual's debt payments to his or her gross income.

Liabilities

A person’s debts or amount that is owed.

Assets

A person’s property or what is owned.