( b ) Explain to Lisa at least 5 internal control procedures she must establish to protect herself against fraud . You should state specific internal control procedures from the textbook , and relate your answer to her nail salon business . ( 15 points ) ( Points : 25 ) Q-2-Set 2 2 . Your friend , John , plans to open a parking garage business . John states that he does not have time to develop and implement a system of internal controls . ( a ) Explain to John the objectives of a system of internal control . ( b ) Explain to John at least 5 internal control procedures that he must establish to protect himself against fraud . You should state specific internal control procedures from the textbook and relate your answer to his parking garage business . solution
Question 3 . ( TCO A ) The following items are taken from the financial statements of PQR Company for 2013 : Cash $ 100,000
Instructions : ( 1 ) Create a classified balance sheet in good form for the year ended 2013 . ( 30 points ) ( 2 ) Calculate the current ratio and debt ratio and explain your findings . ( 6 points ) ( Points : 36 )
Question 3 — Set 2 ( TCO H ) Corporations in need of cash can either issue stock or bonds to raise capital . What are the differences between these two activities and why might a company choose one over the other ? ( Points : 20 )
Q-3 Set 3