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NEW QUESTION: 1
Why is there a difference between source and target capacity on the Primary Capacity bar chart?
A. There is less occupancy to keep in the target due to changing the client's retention policies.
B. The source environment's occupancy is expected to shrink within 36 months.
C. There is no difference in occupancy, however less capacity is being used in the target.
D. The target environment does not include any pre-existing legacy occupancy.
NEW QUESTION: 2
Auditors try to identify predictable relationships when using analytical procedures. Relationships involving
transactions from which of the following accounts most likely would yield the highest level of evidence?
A. Accounts payable.
B. Payroll expense.
C. Advertising expense.
D. Accounts receivable.
Choice "D" is correct. Auditors try to identify predictable relationships when using analytical review
procedures. Payroll expense is predictable because it is based on objective information (number of
employees and pay rates). It can generally be computed directly by the auditor.
Choices "A", "B", and "C" are incorrect. These account balances are less predictable because they are
affected by other factors. Payable and receivable balances can be affected by cash payments or receipts;
advertising expense is subject to management discretion.
NEW QUESTION: 3
What the significance is of valuated sales order stock? There are 2 correct answers to this question.
A. Provides a cost component split for the cost of goods sold.
B. Combined quantity and value flow
C. Assembly costs shown without multi-level make-to-production
D. Variances cannot be determined for this production orders