1. Identify the misstatements below: A. Ten shares were reported missing. B. An investment of 25% of common stock in the company is accounted for at cost. C. Sales gains are reported net after tax. D. Reportable equity securities at cost, which are above market value. e. Authorized purchases are recorded at cost, and brokerage fees are charged. F. The list of securities does not match the general ledger accounts. G. mathematically made to recognize the interest earned. H. Securities pledged as collateral for bank credit are not carried out.

Instructions for working: from each problem determine the substantive, assertion, and type of evidence. Substnative tests that can be selected: Substantive tests Initial Procedure Analytical Procedure Test of Details of Transaction Test of Details of Balance Test of Details of Accounting Estation Test of Details of Disclosure