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NEW QUESTION: 1
Which of the following situations is an example of materiality in accounting?
A. Company A wants to purchase $100,000 worth of fabric to use in its upholstery business. However, the supplier will not grant credit for a purchase that large, so Company A reduces the order to $20,000.
B. Company A receives an order from its largest customer, but it is a relatively small order. Company A does not make any entry into the accounts at the time it receives the order.
C. Company A owns land that it purchased for $100,000 twenty years ago. The land is now appraised at $250,000, but Company A does not adjust the value of the land in its accounts.
D. Company A initiates a relatively small new advertising campaign. Company A decides to include these costs as part of selling, general, and administrative expenses on the income statement rather than disclose them separately.
Answer: D

NEW QUESTION: 2
Security of monetary transactions is one example of an audit objective for an e-commerce engagement. Which of the following is not an audit objective for an e-commerce engagement?
A. Effectiveness of customer authentication process.
B. Appropriateness of reporting lines.
C. Adequacy and timeliness of operating data and information.
D. Effective use and control of digital signatures.
Answer: B
Explanation:
Audit objectives for an e-commerce engagement may include:
Evidence of e-commerce transactions
Availability and reliability of security system Effective interface between e-commerce and financial systems Security of monetary transactions Effectiveness of customer authentication process
Adequacy of business continuity processes, including the resumption of operations
Compliance with common security standards Effective use and control of digital signatures Adequacy of systems, policies, and procedures to control Public Key Certificates using public key Documented evidence e if an effective system of internal control cryptographic techniques)

NEW QUESTION: 3
In which two scenarios can an inventory usage record be changed to STAGED status?
A. If the current status of the inventory usage record is SHIPPED.
B. If the current status of the inventory usage record is COMPLETE or CANCELED.
C. If the current status of the inventory usage record is ENTERED.
D. If the inventory usage record contains one or more lines of type TRANSFER.
E. If the inventory usage record contains one or more lines of type RETURN.
Answer: C,D

NEW QUESTION: 4
A company is currently at the stage of organising the data which is captured within the big data process. What will they need to do next in order to complete all stages?
Select ALL that apply.
A. Data must be shared, allowing the relevant people access to the information produced
B. The type of data needed will be identified and proxosion made for recording it
C. A search system will need to be implemented in order to search across the vast data landscape
D. The data will need to be illustrated in a clear and digestible format
E. The data will need interpreting, so it can be used to answer questions and help illustrate results
F. Proxosion needs to be made to retain the vast amounts of information the big data process produces
Answer: A,C,D,E