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In testing controls related to a client's processing of credit sales transactions,auditors need to define "deviations" in advance.Give seven examples of deviations from control objectives.
Common Stock Dividends Distributable
A liability recorded on a company's balance sheet for dividends declared on common stock but not yet paid to shareholders.
Paid-in Capital
The amount of money a company has received from shareholders in exchange for shares of stock.
Stock Dividend
A dividend payment made in shares of the company's stock rather than cash.
Retained Earnings
The portion of net earnings not paid out as dividends, but retained by the company to be reinvested in its core business, or to pay debt.
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