What is the best reason for prenumbering, in sequence, documents such as sales orders, shipping documents, and

Question:

What is the best reason for prenumbering, in sequence, documents such as sales orders, shipping documents, and sales invoices?

a. Enables determination of the accuracy of each document.

b. Enables determination of the proper period recording of sales revenue and receivables.

c. Allows checking of the numerical sequence for missing documents and unrecorded transactions.

d. Enables determination of the validity of recorded transactions.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Auditing An International Approach

ISBN: 978-1259087462

7th edition

Authors: Wally J. Smieliauskas, Kathryn Bewley

See More Books

Question Posted: Jun 22, 2019 09:44 AM

See More Questions

In the audit of cash and accounts receivable, the main emphasis should be on which assertion? a. Completeness. b. Existence. c. Obligations. d. Presentation and disclosure.
What is the main evidence used to audit depreciation expense?
What is the purpose of the auditors review of the complete set of financial statements that management has prepared for audit?
In Exercises use the Ratio Test to determine the convergence or divergence of the series. 00 n=1 n! n3n
The C-terminal end of a protein extends into the aqueous environment surrounding the protein. The C-terminal amino acids are Gln, Asp, 2 Ser, and three nonpolar amino acids. Assuming that Go the for...
According to the U.S. Bureau of the Census, in 2000 there were 35.3 million residents of Hispanic origin living in the United States. By 2010, the number had increased to 50.5 million. The...
The data for a random sample of 10 paired observations are shown in the accompanying table. Pair Sample from Population 1 Sample from Population 2 a. If you wish to test whether these data are...
Your supervisor asks you to analyze the potential purchase of Drew Company by your firm, Pierson, Inc. You are provided the following information (in millions): Required: a. Prepare a pro forma...
Suppose we have the following returns for large - company stocks and Treasury bills over a six - year period: Year Large - Company stocks US Treasury bills 1 3 . 9 2 % 5 . 9 0 % 2 1 4 . 1 8 2 . 5 3 3...
The Stilton Company has the following inventory and credit purchases during the fiscal year ended December 31, 2014. Stilton Company has two credit sales during the period. The units have a selling...
Which of the following is the most effective technique for detecting suspicious cash transactions between inter-company banks? a. Review the composition of authenticated deposit slips. b. Review...
The negative request form of accounts receivable confirmation is most likely to be acceptable in which case? ASSESSED LEVEL OF NUMBER OF SMALL BALANCES IS CONTROL RISK RELATING PROPER CONSIDERATION...
The accompanying data describe the hourly wage rates (dollars per hour) for 30 employees of an electronics firm: Construct a frequency distribution and a histogram for these data. 22.66 24.39 17.31...
I need help with discussion posts that respond to 3 of these comments. 2 of them being the first on each picture. RUBRIC: articles to mention Coleman, R., & Banning, S. (2006). Network TV news'...
2. Best Use of Scarce Resource DigiCom Corporation produces three sizes of television sets: 12-inch screen, 26-inch screen, and 40-inch screen. Revenue and cost information per unit for each product...
Gunther invested $15,000 into a segregated fund with a 65% maturity guarantee 10 years ago. The fund is now maturing and has a current market value of $22,261. Gunther decides to withdraw his...
(a) Consider the following financial data (in millions of dollars) for Costello Laboratories over the period of 2014-2018: Year Sales Net income Total assets Common equity 2014 $3,800 $500 $3,900...
The Pizza Pie 'N Go sells about 2300 one-topping pizzas each month. The circle graph displays the most requested one-topping pizzas, by percentage, for one month. Most Popular One-Topping Pizzas...
Solve Problem by using the quadratic formula. x2 - 6x - 3 = 0
On 1 July 2021, Croydon Ltd leased ten excavators for five years from Machines4U Ltd. The excavators are expected to have an economic life of 6 years, after which time they will have an expected...
Certain revenue and expense accounts usually are audited in conjunction with related balance sheet accounts. List the most likely related balance sheet accounts for these revenue and expense...
How might usual revenue transactions cause significant audit evidence and reporting problems?
The following was included in a letter auditors received from the auditees lawyers, in response to a letter sent to them that was similar to Exhibit 154: Several agreements and contracts to which the...
The company sold merchandise to a customer on March 31, 2020, for $100,000. The customer paid with a promissory note that has a term of 18 months and an annual interest rate of 9%. The companys...
imer 2 0 2 4 Question 8 , PF 8 - 3 5 A ( similar to ) HW Score: 0 % , 0 of 1 0 0 points lework CH 8 Part 1 of 6 Points: 0 of 1 5 Save The comparative financial statements of Highland Cosmetic Supply...
An investor wants to purchase a zero coupon bond from Timberlake Industries today. The bond will mature in exactly 5.00 years with a redemption value of $1,000. The investor wants a 12.00% annual...

What is the best reason for prenumbering, in sequence, documents such as sales orders, shipping documents, and

Question:

Step by Step Answer:

c Allows checking ...View the full answer

Auditing An International Approach

Students also viewed these Business questions