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NEW QUESTION: 1
A. Option C
B. Option F
C. Option E
D. Option A
E. Option D
F. Option B
Answer: E
NEW QUESTION: 2
A new extended life light bulb has an average service life of 750 hours, with a standard deviation of 50 hours. If the service life of these light bulbs approximates a normal distribution, about what percent of the distribution will be between 600 hours and 900 hours?
A. 95%
B. None of these answers
C. 99.7%
D. 34%
E. 68%
Answer: C
Explanation:
Explanation/Reference:
Explanation:
z = (X-u)/sigma. z1 = (600 - 750)/50 = -3.0. z2 = (900 - 750)/50 = 3.0. from the z tables, z = 3 is 0.4987.
Therefore the area between z1 and z2 is 0.4987*2 = 0.9974
NEW QUESTION: 3
When an accountant examines projected financial statements, the accountant's report should include a
separate paragraph that:
A. Describes the limitations on the usefulness of the presentation.
B. Provides an Explanation: of the differences between an examination and an audit.
C. States that the accountant is responsible for events and circumstances up to one year after the report's
date.
D. Disclaims an opinion on whether the assumptions provide a reasonable basis for the projection.
Answer: A
Explanation:
Explanation/Reference:
Explanation:
Choice "A" is correct. The accountant's standard report on an examination of projected financial
statements should include a caveat that the projected results may not be achieved. This is included in a
separate paragraph that describes the limitations on the usefulness of the presentation: "...there will
usually be differences between the forecasted and actual results... [that] may be material."
Choice "B" is incorrect. The accountant's report on the examination of projected financial statements would
not include an Explanation: of the differences between an examination and an audit.
Choice "C" is incorrect. A statement is included which specifically states that the accountant assumes no
responsibility to update the report for events and circumstances occurring after the date of the report.
Choice "D" is incorrect. The accountant does express an opinion that "the underlying assumptions provide
a reasonable basis for management's forecast."
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