1. When testing other accrued liabilities, auditors may independently calculate the amount and ________ it to management estimate.

a. Add

b. Increase

c. Decrease

d. Compare

e. Subtract

f. Adjust

2. As repairs on warranty items take place, the accrual account is ______

a. Debited

b. Brought to zero

c. Ignored

d. Increased

e. Credited

3. Auditors need to compare the percentage of claims accrued to current year ______

a. Depreciation

b. Sales

c. Cash

d. Receivables

e. Expenses