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D. Next Thursday of the current week in 2012
Answer: A
NEW QUESTION: 2
An auditor's program to examine long-term debt should include steps that require:
A. Verifying the existence of the bondholders.
B. Examining bond trust indentures.
C. Investigating credits to the bond interest income account.
D. Inspecting the accounts payable subsidiary ledger.
Answer: B
Explanation:
Explanation/Reference:
Explanation:
Choice "A" is correct. Examination of bond trust indentures should be included in audit program of long-
term debt to assure that the client was not in violation of any covenants in the indentures. Choice "B" is
incorrect. Inspecting the accounts payable subsidiary ledger relates to accounts payable, a current
liability.
Choice "C" is incorrect. Long-term debt generates interest expense, not interest income.
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Answer:
Explanation:
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