Biology Forums - Study Force

This framework was issued in 1996 (and updated in 2007) by the Information Systems Audit and Control Association (ISACA) because of the influence of IT over information systems, financial reporting and auditing.
 a. COBIT
  b. COSO
  c. ERM
  d. All of the above.

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(Q. 2) Which financial statement shows Cash paid to employees?
 
  A) Income statement
  B) Statement of changes in shareholders' equity
  C) Statement of cash flows
  D) Balance sheet

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(Q. 3) In reconciling a bank statement, the bank statement balance is 1,000 and the balance per books is 1,205 . A bank service charge is 15; a deposit in transit totals 500, and outstanding checks total 300 . The adjusted book balance is
 a. 1,490.
   b. 1,205.
   c. 1,190.
   d. 1,505.

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(Q. 4) Which statement below best describes how to account for the costs of purchasing inventory?
 
  A) The costs are initially recorded as expenses and depreciated over the estimated useful life.
  B) Inventory costs are initially reported as assets and then maintained in the asset accounts for the life of the business.
  C) The costs are initially recorded as assets and become expenses when the inventory has an increase in market value.
  D) The costs are initially recorded as assets and become expenses when the inventory is sold.

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(Q. 5) When comparing a retail business to a service business, the financial statement that changes the least is the
 a. balance sheet
  b. income statement
  c. statement of owner's equity
  d. statement of cash flows

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(Q. 6) Mia Hero, Inc had a retained earnings balance of 7,000 on December 31, 2011. For the year 2012, sales revenues are 15,000 and expenses are 13,000. If no dividend is declared or paid in 2012, retained earnings at December 31, 2012 equals ________.
 
  A) 9,000
  B) 10,000
  C) 35,000
  D) some other amount

1)  A

2)  C

3)  c

4)  D

5)  c

6)  A

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