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In Contrast with Other Areas of Accounting, AIS More Frequently

Question 66

Short Answer

In contrast with other areas of accounting, AIS more frequently involves problems with non-deterministic answers.Which questions in the list below have non-deterministic answers?
a.How do you calculate depreciation using the straight-line method?
b.How many accountants should ITI Corporation hire?
c.Should ITI Corporation expand its operations to other countries?
d.Should ITI Corporation reconcile its bank statement at least once a month?
e.Should ITI Corporation use Quickbooks or Peachtree for transaction processing?
f.Should Thai use information from textbooks as one source in a paper for her AIS course?
g.What is the journal entry to record a cash sale?
h.Which inventory cost flow assumption (FIFO, LIFO) does ITI Corporation use?
i.Which local bank should ITI Corporation do business with?
j.With respect to financial reporting, is relevance more important than reliability?

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