Q 6.29: Accurate Auditing is conducting an inventory count for Blake Industries. Blake intermingles empty boxes with full boxes in the storeroom. How would falsifying its inventory account have affected Blake’s financial statements if the auditors had not discovered the fraud?

Answers

Answer 1
Answer:

Answer:

The asset would have been overestimated

Explanation:

An inventory account deals with assigning values to all the items or goods that are involved in the production process ranging from raw goods, processed goods to market-ready goods.

An inventory represents an asset to a company. Hence, the presence of empty boxes in the storeroom if otherwise taken as full boxes will lead to an overestimation of the asset unless they are discovered.


Related Questions

A certain production possibilities frontier shows production possibilities for two goods, jewelry and clothing. Which of the following concepts cannot be illustrated by this model?
At a price of $65, consumers demand 650 pairs of shoes, and sellers supply 650 pairs of shoes. The price of $65 (where quantity supplied and quantity demanded both equal 650 pairs of shoes) is the _____.
Ernesto excels at mathematics and has a keen eye for analyzing information. He is also a skilled communicator and does an excellent job explaining things to other people. Ernesto enjoys using the computer to generate reports to summarize his findings. Which is most likely Ernesto’s job title?
When does allocative efficiency​ occur? A. Allocative efficiency occurs when a good or service is produced at the lowest possible cost. B. Allocative efficiency occurs when an economy no longer relies on voluntary exchange.C. Allocative efficiency occurs when an economy achieves equity.D. Allocative efficiency occurs when production is in accordance with consumer preferences.
Lido Pizza purchased a new oven that cost $15,000 cash on January 2, 2016. The oven has an expected useful life of five years and an estimated salvage value of $3,000. Tony's uses straight-line depreciation to make adjusting entries each December 31. What amount of accumulated depreciation would Lidos report on the 2017 balance sheet?

Motivating employees by expanding the number of jobs or tasks that they are involved with is referred to as job ________.

Answers

As Job Enlargement

in Job enlargement, employers typically increase the number of tasks and responsibilities. This will make the position more Challenging and usually resulted in higher wage and reward

How is a corrosive material harmful to the human body

Answers

Corrosive material is harmful to the human body because it is very reactive.  It can cause damage to body tissue by destroying the tissue chemically or by causing inflammation on the tissue and skin.

Answer

Corrosives are materials that can attack and chemically destroy exposed body tissues Corrosives can also damage or even destroy metal They begin to cause damage as soon as they touch the skin, eyes, respiratory tract, digestive tract, or the metal. Other chemicals can be corrosive to

Which activity would a consumer most likely perform?

Answers

Consumers are most likely to engage in the activity of growing vegetables in a home garden. The Option C.

What is the most likely activity for a consumer?

A consumer would most likely engage in growing vegetables in a home garden. This activity allows individuals to cultivate their own produce, providing them with fresh and nutritious options right at their doorstep.

Gardening has become a popular hobby for many people who value self-sufficiency and the satisfaction of seeing their efforts yield tangible results. By growing vegetables at home, consumers also reduce their reliance on store-bought produce and have greater control over the cultivation process ensuring the use of organic and sustainable practices.

Full question:

Which activity would a consumer most likely perform? A) filling a lawnmower with gas B) answering phones in an office C) growing vegetables in a home garden D) helping mow lawns in the neighborhood

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ANSWER: Growing vegetables in a home garden

The severity of an electrical shock is dependant upon what three things?

Answers

The severity of an electrical shock is dependant upon :

- Amperage : How strong the electrical shock that you exposed to

- Duration of the exposure : The longer the duration, the more dangerous it is for your body

- The pathway of electricity to your body : The closer to the important area of your body such as brain or heart, the more dangerous it is

Final answer:

The severity of an electrical shock depends on the amount of the electric current, the path it takes through the body and the duration of exposure to the current. A larger current, a current passing through vital organs and longer exposure times all increase shock severity. The frequency of the current (AC vs. DC) can also affect the damage caused by an electric shock.

Explanation:

The severity of an electrical shock depends on three main factors. Firstly, the amount of current (I in the formula I = V/R where V is voltage, and R is resistance). A larger current will typically cause a stronger shock. For instance, a person with dry skin having a resistance of about 200 kΩ in contact with 120 V AC will experience a current of about 0.6 mA.

Secondly, the path the electric current takes through the body influences the severity of the shock. A current passing through the heart is a lot more dangerous than one that only touches the skin.

The duration of the shock also matters - the longer the contact with the electric current, the more severe the shock will be. Lastly, while your question asks for three things, it is also worth noting that the frequency of the current matters too. For instance, AC current (which has non-zero frequency) is more likely to cause harm than DC current (frequency zero).

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What is a fringe benefit?a. a cash payment for casual work
b. a business other than sales or marketing
c. a payment other than wages or salaries
d. an accounting term meaning profits

Answers

C. A payment other than wages or salaries. A fringe benefit is given to the employees as a benefit or incentive on top of their basic salary. Fringe benefit may be in the form of company issued car, life or health insurance, luncheon vouchers or additional paid vacation. 

As the ratio of the cost of overstocking to the cost of understocking gets larger:________ A) the optimal level of product availability decreases.
B) the optimal level of product availability becomes irrelevant.
C) the optimal level of product availability remains stable.
D) the optimal level of product availability increases.

Answers

Answer:

D) the optimal level of product availability increases.

Explanation:

Overstocking deals with making a product available in excess quantity.

Under stocking deals with making a product available in insufficient quantity.

As the ratio of the cost of overstocking to the cost of understocking gets larger, the optimal level of product availability increases. This is self explanatory as overstocking being more than understocking means there will be more product available.

Answer:

A) the optimal level of product availability decreases.

Explanation:

The optimal level of product availability decreases when the ratio of the cost of overstocking to the cost of understocking increases or gets larger.

The optimal level of product availability is defined as the ratio of cost of overstocking to the cost of understocking.

Therefore, when the ratio of cost of overstocking to the cost of understocking gets larger, the optimal level of product availability decreases and vice-versa.