FNEC-1600 Study Guide - Midterm Guide: Accounts Receivable, Gross Profit, Weighted Arithmetic Mean

• School: Vanderbilt University
• Department: Financial Economics
• Course: FNEC-1600
• Professor: Trentham Brent

Document Summary

Multiple choice topics (13 questions; 26 points: what is required to be included in the annual report based on the sarbanes-oxley act internal control report including. States management responsibility for maintaining an adequate internal control structure. Contains an assessment of the effectiveness of this structure. Contains an independent auditor"s assessment of management"s assertions regarding the reliability of this structure. Contains an independent auditor"s assessment of the reliability of the controls this puts more responsibility on managers, so people cannot just point fingers at the. Ceos: elements of internal controls and identifying types of control activities. Control activities - preventive controls including defined authority and responsibility, segregating and separating duties, and safeguard over assets and records. detective controls including adequate documentations and records, and reconciliations and counts. Ensure compliance with laws and regulations: what items affect net sales revenue. Sales returns and allowances: understanding direct write-off and the allowance method of accounting for bad debt.