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NEW QUESTION: 1
How many people are in the van?
(1) The average weight of each person is 75 Kg.
(2) The people and the van together weigh 5000 Kg.
A. Statement (2) BY ITSELF is sufficient to answer the question, but statement (1) by itself is not.
B. Statements (1) and (2) TAKEN TOGETHER are sufficient to answer the question, even though NEITHER statement BY ITSELF is sufficient.
C. Either statement BY ITSELF is sufficient to answer the question.
D. Statements (1) and (2) TAKEN TOGETHER are NOT sufficient to answer the question, requiring more data pertaining to the problem.
E. Statement (1) BY ITSELF is sufficient to answer the question, but statement (2) by itself is not.
Answer: D
Explanation:
Explanation/Reference:
Explanation:
STATEMENT (1) alone is not sufficient. We still need the total weight of the people: then we can divide by the average weight to obtain the number of people. STATEMENT (2) tells us how much the people and the van together weigh, but we don't know how much the people weigh. So STATEMENTS (1) and (2) together are not sufficient.
More sufficient data is required.

NEW QUESTION: 2

A. Option D
B. Option E
C. Option B
D. Option A
E. Option C
Answer: C,D

NEW QUESTION: 3
On January 2, 1993, Quo, Inc. hired Reed to be its controller. During the year, Reed, working closely with
Quo's president and outside accountants, made changes in accounting policies, corrected several errors
dating from 1992 and before, and instituted new accounting policies.
Quo's 1993 financial statements will be presented in comparative form with its 1992 financial statements.
This question represents one of Quo's transactions. List A represents possible clarifications of these
transactions as: a change in accounting principle, a change in accounting estimate, a correction of an
error in previously presented financial statements, or neither an accounting change nor an accounting error.
Item to Be Answered
Quo manufactures heavy equipment to customer specifications on a contract basis. On the basis that it is
preferable, accounting for these long-term contracts was switched from the completed-contract method to
the percentage-of-completion method.
List A (Select one)
A. Correction of an error in previously presented financial statements.
B. Change in accounting estimate.
C. Neither an accounting change nor an accounting error.
D. Change in accounting principal.
Answer: D
Explanation:
Choice "a" is correct. Switching from the completed-contract method of accounting to the percentage-of
completion method is a "change in accounting principle."

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