Should Peterson Accounting have relied on the income statement and footnote information provided by Ms. Rivera’s accountant? Why or why not?

The answer is an affirmative YES.  Peterson Accounting should have relied on the income statement and footnote information provided by Ms. Rivera's accountant because they provided additional information on valuation and also provided a uniform framework for rigorous assessment and evaluation of the assets.

Explanation:

However, reliance should not be automatic.  It should be based on the assessment of the qualification of Ms. Rivera's accountant and the internal controls in place, which helped the preparation of the income statement.

match each type of restriction with one of its effects.

a. land-use laws

b. labor laws

c. banking regulations

a. controlled development of towns and cities

b. protection of young workers

c. greater financial stability

1. avoid them

2. a talk with them

3. ask someone you trust

4. ignore

5. call police