For the following situation, state whether it represents a strength or weakness in internal control and give the reason for your answer
The movie theater has the following policy. Tickets are sold by the cashier
The ticket stubs are collected by the ticket taker. The ticket stubs are stored in a locked box, and the accounting personnel match the number of ticket stubs to the number of tickets sold.
What will be an ideal response
Strength
The operations are kept separate from the accounting functions. The ticket stubs should match the number of tickets sold.
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When a party retracts an anticipatory repudiation, it means that the party:
A) Had previously indicated that it would not perform the current contract, but has now indicated that it will perform the current contract. B) Is breaching the current contract due to circumstances beyond its control, but will be able to perform all similar contracts in the future. C) Is demanding that the other party to a contract live up to its obligations. D) Performed the contract, but is now taking back that performance. E) Breached a similar contract in the past, but will perform the current contract.
During the economic downturn that occurred between the fall of 2007 and spring of 2009, stocks declined in price. This period is known as a(n)
A) hare market. B) tortoise market. C) bull market. D) bear market.