Author Question: Management's legal responsibility to prevent fraud and other irregularities is implied by laws such ... (Read 64 times)

chandani · **on:** Jul 5, 2018

Management's legal responsibility to prevent fraud and other irregularities is implied by laws such as the Foreign Corrupt Practices Act.
Indicate whether the statement is true or false

Question 2

On December 31, 2012, Twisted Pretzel was told by an appraiser that its land, which cost 100,000, was worth 120,000. How should Twisted Pretzel show this information on its financial statements prepared under U.S. GAAP?

A) Report a gain of 20,000 on its income statement.
B) Report land at 100,000 on its income statement.
C) Report land at 120,000 on its income statement.
D) Continue showing the land at its cost of 100,000.