Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

5-32....,,,.. LO 5-4 5-32 For each of the following specific audit procedures, indicate the type of audit procedure it represents: (1) inspection o records or

5-32....,,,..

image text in transcribed
LO 5-4 5-32 For each of the following specific audit procedures, indicate the type of audit procedure it represents: (1) inspection o records or documents, (2) inspection of tangible assets, (3) observation, (4) inquiry, (5) confirmation, (6) recalculatio (7) reperformance, (8) analytical procedures, and (9) scanning. a. Sending a written request to the entity's customers requesting that they report the amount owed the entity. b. Examining large sales invoices for a period of two days before and after year-end to determine if sales are recorded in the proper period. c. Agreeing the total of the accounts receivable subsidiary ledger to the accounts receivable genera ledger account. d. Discussing the adequacy of the allowance for doubtful accounts with the credit manager. e. Comparing the current-year gross profit percentage with the gross profit percentage for the last four years. f. Examining a new plastic extrusion machine to ensure that this major acquisition was received. g. Watching the entity's warehouse personnel count the raw materials inventory. h. Performing test counts of the warehouse personnel's count of the raw material. i. Obtaining a letter from the entity's attorney indicating that there were no lawsuits in progress against the entity. j. Tracing the prices used by the entity's billing program for pricing sales invoices to the Page 16 entity's approved price list. k. Reviewing the general ledger for unusual adjusting entries

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Corporate Finance

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford Jordan

12th edition

1259918947, 1260091908, 978-1259918940

More Books

Students also viewed these Accounting questions

Question

Values: What is important to me?

Answered: 1 week ago