Which of the following would be the most effective preview in a formal report?
A) Our sales in the eastern region have plummeted.
B) First, let me begin by introducing our team.
C) The next section discusses the advantages of advertising on the Internet.
D) Okay, now for the mundane part.
E) You probably won't like this, but here it comes.
Answer: C
Explanation: C) Preview sections introduce important or complex topics by helping readers get ready for new information. Formal reports avoid colloquial language and should be written in the third person.
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A company due to pay a certain amount of a foreign currency in the future decides to hedge with futures contracts. Which of the following best describes the advantage of hedging?
A. It leads to a better exchange rate being paid B. It leads to a more predictable exchange rate being paid C. It caps the exchange rate that will be paid D. It provides a floor for the exchange rate that will be paid
When auditors use documentation to support recorded transactions and amounts, the process is usually called
A) tracing. B) confirmations. C) vouching. D) reperformance.