When Equipment Items Are Purchased for Cash

question 38

Multiple Choice

When equipment items are purchased for cash

• A) the inherent risk in the accuracy, valuation and allocation assertions are not affected.
• B) the inherent risk in the existence and occurrence and allocation assertions is high.
• C) the inherent risk in the accuracy, valuation and allocation assertions objectivity is low.
• D) the inherent risk in the accuracy, valuation and allocation assertions is zero.

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Definitions:

Group Entitativity

The extent to which a collection of individuals is perceived as a cohesive and unified group.

Unified Team

A team characterized by high levels of collaboration, shared goals, and a strong sense of cohesion among its members.

Identity Distinct

The unique characteristics and qualities that differentiate one individual or group from another.

Psychological Safety

The belief that one can speak up, take risks, and be creative without fear of punishment or ridicule within a group or organization.