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27. A CPA believes there is substantial doubt about the ability of a client to continue as a going concern for a reasonable period of

27.

  1. A CPA believes there is substantial doubt about the ability of a client to continue as a going concern for a reasonable period of time. In evaluating the clients plans for dealing with the adverse effects of future conditions and events, the CPA most likely will consider, as a mitigating factor, the clients plans to

    A.

    Accelerate research and development projects related to future products.

    B.

    Negotiate reductions in required dividends being paid on preferred stock.

    C.

    Purchase equipment and production facilities currently being leased.

    D.

    Accumulate treasury stock at prices favorable to Hills historic price range.

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