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NEW QUESTION: 1
An auditor's plan to examine long-term debt most likely would include steps that require:
A. Inspecting the accounts payable subsidiary ledger for unrecorded long-term debt.
B. Correlating interest expense recorded for the period with outstanding debt.
C. Comparing the carrying amount of the debt to its year-end market value.
D. Verifying the existence of the holders of the debt by direct confirmation.
Answer: B
Explanation:
Explanation/Reference:
Explanation:
Choice "B" is correct. An auditor's plan to examine long-term debt most likely would include steps that
require correlating interest expense recorded for the period with outstanding debt. This is an analytical
procedure that would provide evidence regarding the reasonableness of the interest expense balance.
Choice "A" is incorrect. This question was released prior to the issuance of FAS 107, which requires
disclosure of the fair values of financial instruments. Accordingly, the auditor now needs to audit the year-
end market values of long-term debt. Choice "a" is still not the best answer, however, since the auditor
would not need to compare the carrying amount to the year-end market value. (Both values are shown, as
FAS 107 does not require that debt securities be written down to (a lower) market value.)
Choice "C" is incorrect. Generally, the existence of the holders of the debt is not verified.
Choice "D" is incorrect. Inspecting the accounts payable subsidiary ledger would be included in the audit of
accounts payable, not long-term debt.
NEW QUESTION: 2
A user has highly confidential information on an old hard drive. Which of the following methods would BEST ensure that the data can never be recovered?
A. Degaussing tool
B. Low level format
C. Overwrite program
D. FORMAT /Q
Answer: A
NEW QUESTION: 3
The victory of the small Greek democracy of Athens over the mighty Persian empire in 490 B C is one of the most famous events in history. Darius, king of the Persian empire, was furious because Athens had interceded for the other Greek city-states in revolt against Persian domination. In anger the king sent an enormous army to defeat Athens.
He thought it would take drastic steps to pacify the rebellious part of the empire. Persia was ruled by one man. In Athens, however, all citizens helped to rule. Ennobled by this participation, Athenians were prepared to die for their city-state. Perhaps this was the secret of the remarkable victory at Marathon, which freed them from Persian rule. On their way to Marathon, the Persians tried to fool some Greek city- states by claiming to have come in peace. The frightened citizens of Delos refused to believe this. Not wanting to abet the conquest of Greece, they fled from their city and did not return until the Persians had left. They were wise, for the Persians next conquered the city of Etria and captured its people. Tiny Athens stood alone against Persia. The Athenian people went to their sanctuaries. There they prayed for deliverance. They asked their gods to expedite their victory. The Athenians refurbished their weapons and moved to the plain of Marathon, where their little band would meet the Persians. At the last moment, soldiers from Plataea reinforced the Athenian troops. The Athenian army attacked, and Greek citizens fought bravely. The power of the mighty Persians was offset by the love that the Athenians had for their city. Athenians defeated the Persians in archery and hand combat.
Greek soldiers seized Persian ships and burned them, and the Persians fled in terror.
Herodotus, a famous historian, reports that 6400 Persians died, compared with only 192 Athenians.
The Athenians were ___by some soldiers who arrived from Plataea.
A. captured
B. strengthened
C. answer not available
D. held
E. welcomed
Answer: B
Explanation:
Explanation/Reference:
Explanation:
