QUESTION 34

Question

Rajan purchased a software program that does not allow unauthorized persons to log on to his company’s information systems. This is an example of a(n)
a. auditing program.
b. preventive control.
c. external control.
d. feedback control.
e. ethical problem.
2 points

QUESTION 35
What was the new technology that played a key role in the reshaping of the political structure of some of Europe’s most powerful countries?
a. the movable type printing press.
b. artificial intelligence technology.
c. Web technology.
d. wireless technology.
e. cellular technology.
2 points

QUESTION 36
Rajan purchased a software program that reports the number of failed log-on attempts. This system will notify him if anyone tries to access his company’s information systems without authorization. This is an example of a(n)
a. auditing program.
b. ethical problem.
c. external control.
d. feedback control.
e. preventive control.
2 points

QUESTION 37
Which of the following is not a type of information you would expect to find on a balance sheet?
a. Current assets
b. Stockholder’s equity
c. Net income
d. Retained earnings
e. Long-term liabilities
2 points

QUESTION 38
An organization prepares a list of the names of individuals who will serve as the contingency manager and primary contingency coordinators. This list is called a(n)
a. natural disaster.
b. internal control.
c. contingency organization chart.
d. maintenance plan.
e. emergency plan.
2 points

QUESTION 39
What is the biggest expense of merchandising firms such as Walmart, Best Buy, and Kroger?
a. Electricity to light the stores
b. The CEO’s salary
c. Fuel expense for delivery trucks
d. Telephone expense
e. Cost of goods sold
2 points

QUESTION 40
Theodore Roosevelt, speaking about the importance of ethics education, said, “To educate the person in mind and not in __________ is to educate a menace to society.”
a. business
b. morals
c. the accounting profession
d. body
e. knowledge
2 points

QUESTION 41
Which item has a negative effect on assets?
a. Inventory
b. Land
c. Depreciation
d. Cash
e. Accounts receivable
2 points

QUESTION 42
Xinghua’s translating business had expenses of $120,000 and net revenue of $360,000 this year. Last year, expenses were $100,000 and net revenue was $300,000. Which statement is true?
a. Xinghua’s profits this year are $360,000.
b. Xinghua’s profits this year are $480,000.
c. Xinghua’s net income this year is $360,000.
d. Xinghua’s profits this year are $240,000.
e. Xinghua’s profit margin this year is $360,000.
2 points

QUESTION 43
Belarus has an annual inflation rate of 43 percent. If a subsidiary company, based in Belarus, uses the Belarusian ruble as its functional currency, Polish zlotys as its currency of books and records, and French euros as the parent company’s reporting currency, then the company must first translate its financial statements using the __________ method.
a. consolidated
b. temporal
c. current rate
d. GAAP
e. hyperinflationary
2 points

QUESTION 44
When a government agency or internal auditors evaluate a company’s adherence to laws and regulations, they are conducting a(n)
a. government audit.
b. management audit.
c. internal control audit.
d. compliance audit.
e. external audit.

Answer 1

Here are the answers to your questions:

QUESTION 34
Rajan purchased a software program that does not allow unauthorized persons to log on to his company’s information systems. This is an example of a(n)
b. preventive control.

QUESTION 35
What was the new technology that played a key role in the reshaping of the political structure of some of Europe’s most powerful countries?
a. the movable type printing press.

QUESTION 36
Rajan purchased a software program that reports the number of failed log-on attempts. This system will notify him if anyone tries to access his company’s information systems without authorization. This is an example of a(n)
a. auditing program.

QUESTION 37
Which of the following is not a type of information you would expect to find on a balance sheet?
c. Net income.

QUESTION 38
An organization prepares a list of the names of individuals who will serve as the contingency manager and primary contingency coordinators. This list is called a(n)
c. contingency organization chart.

QUESTION 39
What is the biggest expense of merchandising firms such as Walmart, Best Buy, and Kroger?
e. Cost of goods sold.

QUESTION 40
Theodore Roosevelt, speaking about the importance of ethics education, said, “To educate the person in mind and not in __________ is to educate a menace to society.”
b. morals.

QUESTION 41
Which item has a negative effect on assets?
c. Depreciation.

QUESTION 42
Xinghua’s translating business had expenses of $120,000 and net revenue of $360,000 this year. Last year, expenses were $100,000 and net revenue was $300,000. Which statement is true?
d. Xinghua’s profits this year are $240,000. (Profit = Net Revenue - Expenses)

QUESTION 43
Belarus has an annual inflation rate of 43 percent. If a subsidiary company, based in Belarus, uses the Belarusian ruble as its functional currency, Polish zlotys as its currency of books and records, and French euros as the parent company’s reporting currency, then the company must first translate its financial statements using the __________ method.
e. hyperinflationary.

QUESTION 44
When a government agency or internal auditors evaluate a company’s adherence to laws and regulations, they are conducting a(n)
d. compliance audit.