Management Asserts That

question 94

Multiple Choice

Management asserts that

• A)the company has the right to the income of cash and investments
• B)all transactions related to the investment account have been accurately recorded
• C)all cash and investment transactions that should be presented in the financial statements are included
• D)transactions related to the investment process have been recorded
• E)the investment accounts are reliable according to the rules of the applicable financial reporting framework at year-end
• F)both A and B
• G)both B and C
• H)both D and E

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Definitions:

Standard Normal Random Variable

A special case of the normal distribution with a mean of zero and a standard deviation of one.

Probability

The measure of the likelihood that an event will occur, expressed as a number between 0 and 1, where 0 indicates impossibility and 1 indicates certainty.

z

A standard score representing the number of standard deviations an observation or datum is above or below the mean of what is being observed or measured.

Standard Normal

An ordinary distribution with a 0 mean and a 1 standard deviation.