#1 An audit team member is interviewing the CFO of their client about related party transactions. She comes to a question regarding transactions between the company and its principal owners. She is unsure what differentiates a principal owner from an owner. REQUIRED - Using the glossary function of the Codification website, locate and briefly state the definition of the term principal owner.

#2 Jose is examining a set of financial statements from the year 2017. He is having difficulty following some of the FASB references because the references predate FASB codification. Jose asks a colleague, Is there an easy method to convert from the old references to the new? REQUIRED - Prepare an answer from the colleague to Jose.

#3 The FASB issued proposed ASU 2022-004 on August 22, 2022. REQUIRED Using the other sources section of the codification website, locate and state the topic of ASU 2022-004.

#4 Two new accountants, Jessi and Marco, are in the process of preparing financial statements for a new corporation. The client corporation was formed this year and had several stock issuances during the year. Jessi believes that the number of shares should be weighted on an average basis when preparing the calculation of earnings per share. Marco believes that the end-of-year number of shares should be used in the calculation. REQUIRED- State briefly the facts and who is correct Jessi or Marco? Use the proper cite and state the correct answer.