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Cartman's Cats shows the following balances:(C)sh: $20,000(A)counts Receivable: $60,000(I)ventory: $80,000(A)counts Payable: $60,000 Wages Payable : $60,000 What is the quick ratio for the business? Mark one answer:

(A)0.2 : 1

(B)0.4 : 1

(C)0.7 : 1

(D)0.8 : 1

(E)0.6 : 1

Three key words used to describe the ethical responsibilities of accountants are:

(A)CPA's, GAAP, AICPA (B)Competence, objectivity, and confidentiality (C)Reliability, integrity, and honesty (D)Integrity, intelligence, and reliability (E)Secrecy, intelligence, and reliability

Correct Answer: B

King, CPA, was engaged to audit the financial statements of Newton Company after its fiscal year had ended. King neither observed the inventory count nor confirmed the receivables by direct communication with debtors, but was satisfied concerning both after applying alternative procedures.King’s auditor’s report most likely contained a(n)

(A)Qualified opinion (B)Disclaimer of opinion. (C)Unmodified opinion. (D)Unmodified opinion with an other-matter paragraph.

Correct Answer: C

Bart's Brewskies saw sales of $50,000 in December-primarily due to New Year's Eve celebrations. Bart determined that 30% of his sales are paid in cash, while the rest are billed for their brewskies. Of the money owed, 40% is paid December, while the remaining is paid the following month. What is the increase of Accounts Receivable on New Year's Eve?

(A)$21,000 (B)$14,000 (C)$15,000 (D)$35,000 (E)$50,000

Correct Answer: A