This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Ima Broke is the sole owner of Miracles, Inc Ima needs another loan from a bank to expand her ... (Read 59 times)

Mr. Wonderful

  • Hero Member
  • *****
  • Posts: 866
on: Jul 5, 2018
Ima Broke is the sole owner of Miracles, Inc Ima needs another loan from a bank to expand her business.
 
  In order to improve the chances of receiving a loan, she decides to report the principal of one of Miracles, Inc's loans as contributed capital instead of a liability on the balance sheet. Discuss the ethical issue with Ima's treatment of the loan.
  What will be an ideal response?

Question 2

The control concern that there will be a high risk of data conversion errors relates primarily to which of the following information systems functions?
 a. data control
  b. data entry
  c. data librarian
  d. database administration


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

dawsa925

  • Sr. Member
  • ****
  • Posts: 326
Reply #1 on: Jul 5, 2018
Answer to Question 1

Ima Broke is misrepresenting the company's financial position. The principal of loans has to be paid back when due, but the company has no obligation to give money back to its owners. A potential creditor will be misled and may decide to lend the money only to find out later that the company does not have the ability to pay back its loans when due.

Answer to Question 2

B


Mr. Wonderful

  • Member
  • Posts: 866
Reply 2 on: Jul 5, 2018
Gracias!

meganmoser117

  • Member
  • Posts: 303
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

Immunoglobulin injections may give short-term protection against, or reduce severity of certain diseases. They help people who have an inherited problem making their own antibodies, or those who are having certain types of cancer treatments.

Did you know?

Blood is approximately twice as thick as water because of the cells and other components found in it.

Did you know?

About 80% of major fungal systemic infections are due to Candida albicans. Another form, Candida peritonitis, occurs most often in postoperative patients. A rare disease, Candida meningitis, may follow leukemia, kidney transplant, other immunosuppressed factors, or when suffering from Candida septicemia.

Did you know?

The most dangerous mercury compound, dimethyl mercury, is so toxic that even a few microliters spilled on the skin can cause death. Mercury has been shown to accumulate in higher amounts in the following types of fish than other types: swordfish, shark, mackerel, tilefish, crab, and tuna.

Did you know?

People with high total cholesterol have about two times the risk for heart disease as people with ideal levels.

Plant cells expand by taking up water into their vacuoles. Plant cells expand by taking up water into their vacuoles.
B, The nurse teaches the postoperative client to use an incentive spirometer to expand the lungs. B, The nurse teaches the postoperative client to use an incentive spirometer to expand the lungs.
Offshore spawning stock biomass, Grand Bank Atlantic Cod since the early 1980s Offshore spawning stock biomass, Grand Bank Atlantic Cod since the early 1980s
Lemon Sole Lemon Sole
No payments were made on a $2,598 loan during its three-year term. What was the annually ... No payments were made on a $2,598 loan during its three-year term. What was the annually ...
Raman has a line of credit loan with the ICICI bank. The initial loan balance was $72000.00. ... Raman has a line of credit loan with the ICICI bank. The initial loan balance was $72000.00. ...
Video: Chemical Buffers - protein buffer, phosphate buffer system and bicarbonate buffer system

For a complete list of videos, visit our video library