Exam 15: Global Accounting and Taxation

Scenario - The Williams Company Based in South Dakota, USA, the Williams Company has been in operation since 1967.  It has five branches located in China, Europe, South America, Mexico, and Canada.  Its exquisite product line of fine custom-made jewelry is highly desired throughout the world.  This company has maintained a very healthy balance sheet. The Williams Company is known within the industry for integrity and fair business practices.  This company maintains an accounting system that is open for any stakeholder to view.  It prides itself on being honest and trustworthy.  The company feels it is this honesty in business practice that has led it to be a billion dollar organization. The Williams Company places a high value on maintaining integrity in its operations.  Part of ensuring this integrity is maintained involves having frequent audits of the company's accounting records performed.  Which one of the following would not be considered an objective of a financial statement audit?        

Accountants who work in the _____ accounting field need to be licensed by the state or states in which they work; the license is designated Certified Public Accountant (CPA).

Scenario - Brininger Enterprises Rapid City, South Dakota has been home to Brininger Enterprises since 1984.  This company is recognized around the world for its superior cutlery and currently ranks as number three within the industry.  In 2011, Brininger Enterprises recorded gross sales of over sixteen million dollars.  From its gross sales, the company claimed net profits of four million dollars. Brininger Enterprises is quite proud of its performance.  It realizes the company's financial records truly show this organization is doing something right. Brininger Enterprises conducts international business. It realizes there are sometimes different accounting guidelines that need to be followed when dealing on an international level. In essence, there are differences between U.S. and international GAAP.  Which one of the following is NOT a factor that would influence the development of accounting and financial reporting?  

Of the following, which is NOT true about international financial reporting standards?

Complete the following equation: ______ = Current Assets /Current Liabilities.

_____ pricing refers to the pricing of goods and services that are bought and sold internally between members of a corporate family.