Cash and Sales would not be found on the same financial statement. True, because Cash is an asset and Sales is revenue and therefore reported on the Balance Sheet and Income Statement, respectively. False, because when added together the user can determine Owner's Equity. True, because there is no need to report the same thing twice. False, because Cash and Sales are both revenues and therefore both would be reported on the Income Statement.

Cash and Sales would not be found on the same financial statement. True, because Cash is an asset and Sales is revenue and therefore reported on the Balance Sheet and Income Statement, respectively. False, because when added together the user can determine Owner's Equity. True, because there is no need to report the same thing twice. False, because Cash and Sales are both revenues and therefore both would be reported on the Income Statement.

Auditing: A Risk Based-Approach (MindTap Course List)

11th Edition

ISBN:9781337619455

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter11: Auditing Inventory, Goods And Services, And Accounts Payable: The Acquisition And Payment Cycle

Section: Chapter Questions

Problem 7CYBK

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