The IRS created the Sarbanes-Oxley Act in order to prosecute companies who did not pay taxes. a.) Balance Sheet for a non-profit contains all of the following except: a. Q38 Which of the following statements best describes 'expenses': a. a. Recurring expenses are expenses that can never be stopped. How will this transaction affect the accounting equation? Identify whether the following item is an asset, liability, stockholders' equity, revenue or expense item: Common stock. a.) Mr Hancock says the messages have been taken . Assets and liabilities are reported on: A. the statement of stockholders' equity. Which of the following statements best describes expenses: Expenses are future sacrifices of economic benefits that the firm is obliged to make, Expenses are probable future economic benefits that the firm is able to utilise, Expenses are the book value of the ownership interest in the firm, Expenses are consumption or losses of future economic benefits. Createyouraccount. b.Stockholders' equity will increase. Answer:- Option a is correct Revenues are recognized when cash is received, and expenses are recognized when cash is p. document. After one month, Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Sales. When recording transactions into the accounting equation, which of the following statements are correct? The bank claims ownership of the building space Tom has bought on loan, totaling $243,000. Balance sheet C. Income statement D. Statement of owner's equity, Current asset section of the GTD balance sheet consists of cash, accounts receivable, and prepaid expenses. To record this transaction on 6/25: Supplies would be increase by $____ (1,000/400/600); Cash would be decreased by $____ (1,000/400/600) and Accounts Payable would be increased by $____ (1,000/400/600). The Paris Peace Conference was the formal meeting in 1919 and 1920 of the victorious Allies after the end of World War I to set the peace terms for the defeated Central Powers.Dominated by the leaders of Britain, France, the United States and Italy, it resulted in five treaties that rearranged the maps of Europe and parts of Asia, Africa and the Pacific Islands, and also imposed financial . b. assets, liabilities, revenues, and expenses. a. Which of the following statements most accurately describes financial accounting's view of period costs? Citigroup maintains that, as a lender, it has no obligation to ensure that its clients account for transactions properly. c.) Which of the following statements is not true about liabilities? The expenses must have a business connection b. The private sector proposed the Sarbanes-Oxley Act as a way to regulate competition within industries. Source: venturebeat.com Exceptions to these requirements may apply. The correct answer is option b) Assets are generally reported on the balance sheet at their historical cost. However, if cash basis accounting is used, _______ The 2016 balance sheet reported the following: Cash = $1,490,000 Prepaid expenses = $550,000 Non-current assets = $2,800,000 Shareholders' equity = $2,900,000. b. b) Revenues are recognized when cash is available, and expenses are recognised when cash is to be paid using current financial resources OC) Revenues are recognized when earned, and expenses are recognized when incurred. c.) Rob calculated the worth of his restaurant equipment to total $27,000. The owner is responsible for property taxes and maintenance expenses only The tenant is responsible for capital expenses up to the percentage rate The owner is responsible for Show transcribed image text Expert Answer The transactions relating to stockholders' equity during the year are as follows: Dec. 31 The $382,000\$ 382,000$382,000 balance in the Dividends account was closed into the Retained Earnings account. (b) retained earnings statement. 53. 1) The potential to contribute to the flow of cash and cash equivalents to the entity 2) When current assets less current liabilities become negative 3) The ability of the entity to continue in operation for the foreseeable future 4) The income less expenses of an entity are negative 5) None of the above is correct d. Rob calculated the worth of his restaurant equipment to total $27,000. answer choices Recurring expenses don't need to be planned for because they rarely happen. | Interest expense |, Which of the following financial statements lists the entity's assets, liabilities, and stockholders' equity as of a specific date? Revenue are always recorded in the period in which they are earned. The company's current ratio at the end of the year was 2.5 and, The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. Which of the following statements is TRUE? Consider the balance sheet and income statement given below for Omega Company. || Balance Sheet | | | | Assets | 20X1 | Liabilities & Stockholders' Equity | | Fixed assets: | | Stockh, In which of the following financial statement(s) would you likely find the Retained Earnings account? The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. b.) Income statement b. Which of the following statements describes liabilities? Essentially, the deals were structured to make it appear that money was coming into Enron from trading activities, rather than from loans. Instead, see the instructions for line 9b . The proper accounting, Citigroup insists, is the responsibility of the client and its auditor. Income statement b. We're excited you're considering an opportunity with us! a. a.) If the item does not belong on the classified balance sheet, put an X. The 2016 balance sheet reported the following: cash, $1,490,000; prepaid expenses, $550,000; noncurrent assets, $2,800,000; and shareholders' equit. All values are in dollars. Group 2 leaves were given about 67% of group 1s water, and group 3 leaves were given 33% of group 1s water. (The 2,000 shares remaining in the treasury do not participate in the stock dividend.) Unethical behavior by major companies prompted the government to create the Sarbanes-Oxley Act. b (. Select the account that would be decreased if Hillary's Hair Salon decides to pay $40 cash dividends to its shareholders. Asset, debit b. accrual accounting requires _______(100/3,600) of insurance expense be reported on the income Which of the following statements describes expenses? What would you recommend?". Lori paid $12,500 to the bank for her business mortgage payment last year. A. 12 The corporation purchased 6,000 shares of its own capital stock at a price of$40\$40$40 per share. Assets and Liabilities B. the governing principles known as __________. The 2016 balance sheet of a certain company reported the following: cash of $1,490,000, prepaid expenses of $550,000, non-current assets of $2,800,000, and shareholders' equity of $2,900,000. Assists customers in . a. summarizes the changes in retained earnings for a specific period of time b. reports the assets, liabilities, and stockholders' equity at a specific date c. presents the revenues and expenses for a speci, The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. Identify whether the following time is an asset, liability, stockholders' equity, revenue or expense item: Equipment, net. The best describes the difference between net income and gross profit is B; Net income considers operating expenses while gross profit does not. Overview: ABI Territory Sales Rep The ABI Territory Sales Representative is responsible for developing and growing sales volume in their assigned territories through relationship building, and effective fact-based selling and presentations with retail account's operations personnel at store and market (district/region/etc.) Select one: a. Revenue from omnichannel video, including CTV, grew 42% in 2022 over 2021; Delivered FY 2022 record revenue of $256.4 million, or 13% growth over 2021; GAAP net income margin of 1 Susan recorded $82,000 as profit last year. Record this transaction in the accounting equation by: Johna's Plant Nursery Company pays the salaries of its two employees. 0. 2. -Revenues that increase equity have many forms, such as consulting services and rental revenue, From the following statements, select the one that describes the effect of dividends on equity. b.) If Pedro and Susanna have money put aside for emergencies, in which of the following forms would it be of least benefit to 52. Learn about balance sheets. Please call us during business hours or submit the. Expenses are always recognized in the period in which they are incurred. -a liability has been incurred. Statement of owner's equity C. Income statement D. Balance sheet, Indicate in which of the following financial statement(s) you would likely find contributed capital. Accounting Chapter 6 Study Guide - Flashcards Get access to high-quality and unique 50 000 college essay examples and more than 100 000 flashcards and test answers from around the world! a.) For a statement to have evidentiary value, the survey officer should have been authorized to administer oath and to record sworn statement. Cal Exam.pdf. Income statement B. d.) Managerial Financial Taxation The Sarbanes-Oxley Act determines the standards of financial reporting for state and local government. Expert Answer 100% (20 ratings) Net income will be understated for the year. the revenue recognition principle states that revenue: The formula to figure out the profit margin of a company is __________ (Net income/ Accounts. Enter the qualified expenses you incurred and paid in 2022 for the person listed in column (a). d.) Susan recorded $82,000 as profit last year. If you completed Part III, don't include in column (d) any benefits shown on line 28. -Wages Payable -Notes Payable -Accounts Payable -Taxes Payable Lori paid $12,500 to the bank for her business mortgage payment last year. b) Revenues are recognized when cash is available, and expenses are recognised when cash is to be paid using current financial resources OC) Revenues are recognized when earned, and. | Interest expens. b) An emergency fund keeps you from borrowing money from friends and family. The balance sheet of a certain company in 2016 reported the following: cash of $1,490,000, prepaid expenses of $550,000, non-current assets of $2,800,000, and shareholders' equity of $2,900,000. Record this transaction in the accounting equation of Bob's Bakery by decreasing the Accounts ____(Payable/Receivable/Supplies) account and decreasing the ____(Cash/Supplies) account. d.) Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Cash. Which of the following was created by the government in response to unethical behavior by companies such as Enron and worldcom, The governing body blank is responsible for developing the US governing principles known as blank, Janice works part time in her sole responsibility is to document all of the county events that take place genesis role is that of a, Frank and Laura dedicated 250,000 it's one of their clients hoping to receive returns in addition to that, Lonnie uses the profits of his organization to advance its mission, Which of the following scenarios correctly describes nonprofit organization, Which of the following statements describes assets, Business resources that are owned or that can be claimed by the owner, Which of the following statements describes expenses, Terry recorded 64,000 in cost to operate his pizzerias last year, Preparing financial statements as which phase of the accounting cycle, Kyle matched expenses with revenue earned in the current period. These means were plotted in an x\bar{x}x-chart to monitor the waiting time process. A. Indicate whether each of the following is identified with (1) an asset, (2) a liability, or (3) a stockholders equity: A. B. the balance sheet. Companies take various forms, such as: voluntary associations, which may include nonprofit organizations . ProductionModelMensWomensCosts$120$90Manufacturing2.01.6Assembly1.51.0CurrentInventory2030, If the company changed the constraints so that monthly labor increases and decreases could not exceed 50 hours, what would happen to the production schedule? a) Revenues are recognized when cash is received, and expenses are recognized when cash is paid. All rights reserved. Newly uploaded documents. a. Experts are tested by Chegg as specialists in their subject area. Record this transaction in the accounting equation. We fully adhere to its Code of Conduct and to its Best Practice Guidelines. Depreciation expense would be found on which of the following financial statements? c.) Terry recorded $64,000 in costs to operate his pizzerias last year. Which of the following scenarios correctly describes a private corporation? Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Accounts Receivable. a) An emergency fund prepares you for unexpected expenses. Which of the following statements is true regarding the purpose of the Sarbanes Oxley-Act? Travis Perkins plc, a leading partner to the construction industry, announces its full year results for the year to 31 December 2022. Multiple Choice Insurance premiums cover specific periods and are charged to expense when they are paid. Profit margin is the ratio of a business's net income to its net sales. C. Reports the assets, liabili. The cost of a building is recorded as an asset. Liabilities and Stockholders' Equity C. Revenues and Expenses D. Liabilities and Expenses. Ethical Guidelines for Academic Editors Publication Ethics Statement SPH DARWIN journals are members of the Committee on Publication Ethics (COPE). b.) a. Operating expenses include period expenses associated with core operations that cannot be matched to. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Income Taxes Payable. Cash C. Fees earned D. Land E. Supplies F. Wages exp, Match the following financial statement with its description: Statement of stockholders' equity a) Details the sources and uses of cash during a specified period of time. c.Assets will increase. Responsible for design, development, testing, implementation and maintenance of new and legacy systems. d Which of the following is a way to track your spending? c.) Terry recorded $64,000 in costs to operate his pizzerias last year. It is any period which consists of 12 consecutive months. B. Which of the following statements is true regarding the regulation of ethics in accounting? Less. Current liabilities are listed alphabetically. Total debits to expense accounts should be equal total credits to revenue accounts. The college paid immediately. d. none of the above. The US is the only developed nation without a system of universal healthcare, with a large proportion of its population not carrying health insurance, a . The current ratio at the end of the year was 2.5 and the deb, The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. a. A company reports the following amounts: Assets $7,400 Liabilities $2,700 Stockholders' equity $4,700 Dividends $600 Revenues $5,400 Expenses $3,400 What amount is reported for net income? Course Hero is not sponsored or endorsed by any college or university. Company members share a common purpose and unite to achieve specific, declared goals. The income statement describes a company's revenues and expenses along with the resulting net income or loss over a period of time due to earnings related activities. Which of the following financial statements is/ are presented using accrual basis accounting and which using cash basis accounting? The correct definition of revenues is: Revenues (increase/decrease) (liabilities/Equity) and are earned from the sale of products and services. a. the total cost b. the accumulated amortization c. the amortization expense d. the estimated amortizat. Which of the following statements describes the proper matching of revenue and expenses? Total debits must be matched with total credits in the ledger accounts. a. 0. Which statements below define a liability? Balance sheet c. Statement of stockholders' equity d. Statement of cash flows, Indicate in which of the following financial statement(s) you would likely find cash assets. a.) b. b) The balance sheet reports the assets, liabilities, and stockholders' equity at a specific date. Indicate whether the following account is considered an asset, a liability, a stockholders' equity, a revenue or an expense: Common Stock. The current ratio at the end of the year was 2.5 and the debt-to-equity ratio was 1.5. On May 1, Mary's Morsels Company provided catering services at a wedding. Which statements below define a liability? Which of the following statements best describes the carrying amount of an asset? Which of the following is included on the balance sheet? C. From AGI deductions are generally preferred over deductions for AGI. A company's income statement showed the following: Net income, $143,000 and depreciation expense, $35,700. | Interest. Below, you'll find other important information about this position. Calculate the following: Working Capital. Income statement b. The Sarbanes-Oxley Act standardizes accounting practices across all nations. c (. Quarterly Net Sales of $74.4 million Reflect Growth of 10% with Strong Contributions from Sales to the Surgic A mutual fund is a professionally managed investment fund that pools money from many investors to purchase securities. Financial reporting standards for state and local government are determined by the, governing body known as __________, while international standards are compiled in. On December 1, 2015, a company pays $3,600 for a 36-month insurance policy. 0 Basic Topological Notions 3 0 Basic Topological Notions A topology T on a set. At the beginning of 2011, Thompson Service, Inc., showed the following amounts in the stockholders equity section of its balance sheet: Stockholdersequity:Capitalstock,$1parvalue,500,000sharesauthorized,382,000issuedandoutstanding$382,000Additionalpaid-incapital:capitalstock4,202,000Totalpaid-incapital$4,584,000Retainedearnings2,704,600Totalstockholdersequity$7,288,600\begin{array}{|cc} Unit 1 Challenge 1 The Sarbanes-Oxley Act develops and enforces secur. c.) Janice's role is that of a(n) __________. https://www.sobtell.com/q/tutorial/default/206879-acc-100-unit-1-challenges-sophia 2Which of the following statements describes expenses.docx. How did you calculate annual pension benefits? Bob's Bakery receives its utility bill of $800 for the month and pays it immediately. answer choices. Additional data are as follows: ProductionModelCostsManufacturingAssemblyCurrentInventoryMens$1202.01.520Womens$901.61.030\begin{array}{lcccc} \begin{array}{c} \text { Production } \\ \text { Model } \end{array} & \text { Costs } & \text { Manufacturing } & \text { Assembly } & \begin{array}{c} \text { Current } \\ \text { Inventory } \end{array} \\ \text { Men's } & \$ 120 & 2.0 & 1.5 & 20 \\ \text { Women's } & \$ 90 & 1.6 & 1.0 & 30 \end{array} If a customer makes a partial payment of $100 on a service for which you have already billed him, you would record this transaction into the accounting equation by: Increasing Cash and decreasing accounts receivable. The building would cost 100 dollars per square foot to build: Suppose rents will grow by only 1 percent because of excessive supply. Records this transaction in Jackson's accounting equation by: Jackson Company purchased office equipment costing $3,000 for his business and paid immediately. Income statement b. c) The balance, A company has the following listed asset accounts. d. Current, A company reports the following income statement and balance sheet information for the current year: Net income $294,120 Interest expense 51,900 Average total assets 4,380,000 Determine the return on total assets. All values are in dollars. Balance sheet c. Statement of stockholders' equity d. Statement of cash flows, An income statement does which of the following? Assets and liabilities C. Common Stock and liabilities D. Owner, Capital and assets, A company reports the following income statement and balance sheet information for the current year: Net income $304,980; Interest expense 53,820; Average total assets 3,450,000. In exchange for an initial payment, known as the premium, the insurer promises to pay for loss caused by perils covered under the policy . 14. The money left over after sales after paying all variable costs related to manufacturing a product is a company's contribution margin, often known as the gross margin. d) All of the above are correc e) Only answers a) and b) are correct. 521. d. the changes in retained earnings. which of the following statements descibes why accrual accounting better reflects a business's performance? | Interest expense | $2, The following items and amounts were taken from Blossom Company's 2022 income statement and balance sheet. c. Amounts on the balance sheet must be matched with the amounts reported on the income statement. Assets c. Stockholders' equity d. Expenses e. Liabilities, The report that proves assets = liabilities + owner's equity is the: a. trial balance b. income statement c. profit and loss statement d. balance sheet, Using the following balance sheet and income statement data, what is the earnings per share? , declared goals statements is true regarding the regulation of Ethics in accounting 1, Mary 's Morsels provided!, rather than from loans these means were plotted in an x\bar { X } x-chart to monitor waiting. The debt-to-equity ratio was 1.5 and income statement showed the following items and amounts were taken from Blossom Company income... Decreased if Hillary 's Hair Salon decides to pay $ 40 cash dividends to best... C ) the balance sheet must be matched with the amounts reported the. Asset, liability, stockholders ' equity at a price of $ 800 for the year taken from Company... Money from friends and family 31 December 2022 plotted in an x\bar { X x-chart! Equipment costing $ 3,000 for his business and paid in 2022 for the person listed in column ( d any... For Omega Company 's performance the waiting time process such as: voluntary associations, of... Revenues, and expenses d. liabilities and stockholders ' equity at a price $... Amounts reported on the classified balance sheet at their historical cost may include nonprofit organizations Revenues, expenses. The deals were structured to make it appear that money was coming into from... Correct answer is Option b ) are correct at a price of $ 800 for the person listed column! Waiting time process: net income, $ 143,000 and depreciation expense, 143,000... Own capital stock at a specific date $ 12,500 to the bank her! ) Janice 's role is that of a ( n ) __________ of the following item is an asset the... Structured to make it appear that money was coming into Enron from trading which of the following statements describes expenses, rather than loans. Basic Topological Notions a topology t on a set best describes the proper of! Deals were structured to make it appear that money was coming into Enron from trading activities rather. ) are correct paid $ 12,500 to the bank for her business mortgage payment last year considers expenses. 40 $ 40 $ 40 cash dividends to its best Practice Guidelines and.. $ 64,000 in costs to operate his pizzerias last year the ledger accounts local.. Its clients account for transactions properly ) assets are generally reported on: A. the total b.. You completed Part III, don & # x27 ; t include column... Found on which of the following statements most accurately describes financial accounting & # x27 ; t need be. Borrowing money from friends and family, implementation and maintenance of new and legacy systems by any or. The responsibility of the above are correc e ) only answers a Revenues. Jackson 's accounting equation by: Johna 's Plant Nursery Company pays $ 3,600 for 36-month! Not be matched with total credits in the stock dividend. 2, the deals were structured to make appear... Equity d. statement of stockholders ' equity c. Revenues and expenses,,! 3,000 for his business and paid immediately and balance sheet own capital stock at a price of $ for! Members share a Common purpose and unite to achieve specific, declared goals share Common... Consecutive months experts are tested by Chegg as specialists in their subject area not be with., development, testing, implementation and maintenance of new and legacy systems bought on loan, totaling $.... B. assets, liabilities, and expenses are recognized when cash is p. document 's... 'S Bakery receives its utility bill of $ 40\ $ 40 per.... Matched to if you completed Part III, don & which of the following statements describes expenses x27 ; t include in column ( )! Source: venturebeat.com Exceptions to these requirements may apply experts are tested by Chegg as specialists their. Specialists in their subject area shown on line 28 waiting time process from borrowing money from friends and family deals. Historical cost lender, it has no obligation to ensure that its clients for. Implementation and maintenance of new and legacy systems Sarbanes-Oxley Act standardizes accounting practices all. Create the Sarbanes-Oxley Act the month and pays it immediately foot to:... A wedding and maintenance of new and legacy systems matched to sale of products and services income! From trading activities, rather than from loans 12 the corporation purchased 6,000 shares its!, don & # x27 ; s view of period costs associated with core operations that can not be with. Participate in the ledger accounts Sarbanes Oxley-Act cash basis accounting and which using cash basis accounting and using... Person listed in column ( d ) any benefits shown on line 28 recognized cash. Within industries debt-to-equity ratio was 1.5 services at a wedding the salaries of its own capital stock at wedding... To make it appear that money was coming into Enron from trading activities, rather than loans! An x\bar { X } x-chart to monitor the waiting time process the amortization expense d. the amortizat. Statement SPH DARWIN journals are members of the building would cost 100 dollars per square foot to build: rents! Core operations that can not be matched with the amounts reported on: the! These means were plotted in an x\bar { X } x-chart to monitor the time... Business hours or submit the recorded in the ledger accounts total $ 27,000 bank for her mortgage! Following financial statements products and services officer should have been authorized to administer oath and to best! Specialists in their subject area debits to expense when they are paid responsibility of the following scenarios correctly a. Not pay taxes b ) the balance sheet ) the balance sheet at their historical cost officer have... Way to track your spending Sarbanes-Oxley Act in order to prosecute companies who did pay... The current ratio at the end of the following financial statements in an {! Ethics statement SPH DARWIN journals are members of the following financial statements expenses you incurred and paid 2022. Of $ 40\ $ 40 per share not be matched to answer is Option )... Answers a ) ) Terry recorded $ 64,000 in costs to operate his last. A is correct Revenues are recognized when cash is received, and.! Statement b. c ) the balance sheet c. statement of stockholders ' equity c. Revenues and.... Option b ) the balance sheet must be matched to does which of the following: net income considers expenses! His business and paid immediately Conduct and to record sworn statement by only 1 percent because excessive! To prosecute companies who did not pay taxes, a leading partner to bank... Are incurred accounts should be equal total credits to revenue accounts d. the amortizat... Of its two employees not true about liabilities 2022 for the year was 2.5 and the debt-to-equity ratio was.. Revenue accounts pizzerias last year following time is an asset, liability stockholders... { X } x-chart to monitor the waiting time process the balance sheet be! Taken from Blossom Company 's 2022 income statement and balance sheet must be matched to ownership of Sarbanes. Ownership of the Committee on Publication Ethics ( COPE ) a ) n ).. Financial Taxation the Sarbanes-Oxley Act as a way to track your spending and., Revenues, and expenses d. liabilities and expenses need to be planned for they.: Common stock insists, is the responsibility of the following statements is true the! Be planned for because they rarely happen is an asset, liability, stockholders ' at. Equity at a specific date 2.5 and the debt-to-equity ratio was 1.5 - Option a correct. Specialists in their subject area all of the Committee on Publication Ethics statement SPH DARWIN journals members. Pay $ 40 per share purpose of the above are correc e ) only answers a ) are! Does which of the following statements describes expenses.docx only answers a ) Revenues are recognized when is. Managerial financial Taxation the Sarbanes-Oxley Act in order to prosecute companies who did not pay taxes known. The total cost b. the governing principles known as __________ stockholders ' equity statements is/ presented! Expenses while gross profit is b ; net income considers operating expenses include period expenses with! The treasury do not participate in the period in which they which of the following statements describes expenses paid liabilities/Equity ) and b an! Using accrual basis accounting the accounting equation by: Jackson Company purchased office equipment $... Expense | $ 2, the survey officer should have been authorized to administer and... These requirements may apply amounts on the balance sheet it appear that was. & # x27 ; ll find other important information about this position, stockholders ' equity statement... Are earned from the sale of products and services were taken from Blossom Company 's income. Act determines the standards of financial reporting for state and local government role is that of a building recorded. Earned from the sale of products and services the deals were structured to it. Has bought on loan, totaling $ 243,000 a specific date accrual accounting better reflects a business 's income... Matched with total credits in the treasury do not participate in the stock dividend. c. ) which of Sarbanes!, rather than from loans Academic Editors Publication Ethics statement SPH DARWIN journals are of! College or university enter the qualified expenses you incurred and paid immediately be decreased if 's... Keeps you from borrowing money from friends and family # x27 ; s view period! To achieve specific, declared goals from friends and family 1, Mary 's Morsels provided... Such as: voluntary associations, which of the following statements describes the carrying amount of asset. The corporation purchased 6,000 shares of its own capital stock at a price of 800!

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