Exercise 1-18A Understand the role of the auditor (LO1-5) Required: Match the following descriptions with the concepts associated with the role of the auditor in financial reporting. Concept a Description Phrase meaning to present the accounting records in an altered format b. Auditors are not employees of the company they audit. Responsible for applying generally accepted accounting principles (GAAP) d. Regulatory body that requires audits of all publicly traded companies Separation of management from those who own the business or finance operations Party that reports on whether a company's financial statements are in accordance with GAAP. View expressed by an auditor as to the accuracy of a company's financial statements e. 1 9 1. Coca-Cola reports an increase in retained earnings of $3.2 billion and net income of $6.9 billion. 2. PepsiCo reports an increase in retained earnings of $3.4 billion and dividends of $2.6 billion. 3. Alphabet reports an increase in retained earnings of $1.6 billion and net income of $1.6 billion. 4. Sirius XM Satellite Radio reports beginning retained earnings of $1.6 billion, net loss of $10 billion, and $0 dividends. 5. Abercrombie & Fitch reports ending retained earnings of $1.56 billion, net income of $0.43 billion, and dividends of $0.06 billion. (Enter your answers in billions rounded to 2 decimal places. Negative amounts should be indicated by a minus sign.) Required: 1. What is the amount of dividends of Coca-Cola? 2. What is the amount of net income of PepsiCo? 3. What is the amount of dividends of Alphabel? 4. What is the amount of ending retained earnings of Sirius XM Satellite Radio? 5. What is the amount of beginning retained earnings of Abercrombie & Fitch? 1. Dividends 2. Net Income 3. Dividends 4. Ending Retained Earnings 5. Beginning Retained Earnings billion billion billion billion billion