Why do individuals or entities choose to invest in the capital stock of corporations? 2.When is a misstatement considered fraud? 3.What type of assurance does an audit provide? 4.What is materiality? Provide examples. 5.Why is it acceptable for financial accounting to be imprecise? 6.Why would a nonpublic company have its statements audited? 7.What three items are typically listed at the top of a financial statement? 8.Briefly explain why it is difficult for accountants to determine whether or not revenue has been earned if the sales process is not complete. 9.What differentiates a current asset from a noncurrent asset? 10.How do companies determine if a cost is an expense or an asset?