b. How will the tests of controls and substantive tests of transactions results and your lilu JUARa the audit of property, plant, and equipment and leases Substantive tests of transac- Required conclusions (1 through 7) affect your planned tests of details for property, plant, and equipment and leases? State your conclusions for each balance-related audit objec- . Explain the relationship between the tests of controls and substantive tests of transac- d. How will the tests of controls and substantive tests of transactions results and your tive. Do not write an audit program. tio ns results in Case 18-30 and the audit of expenses. conclusions (1 through 7) affect your planned tests of details of balances for expenses? Do not write an audit program. 19-26 (OBJECTIVE 19-2) You are doing the audit of the UTE Corporation for the year ended December 31, 2016. The following schedule for the property, plant, and.equipment and related allowance for depreciation accounts has been compared the opening balances with the prior year's audit documentation prepared by the dlient. You have UTE Corporation Analysis of Property, Plant, and Equipment and Related Allowance for Depreciation Accounts Year Ended December 31,2016 Per Books 12/31/15 Additions Retirements 12/31/16 Final Description Assets $ 275,000 Land Buildings $225,000 $50,000 1,200,000 175,000 1,375,000 Machinery and equipment 3,850,000 404,000 260,000 3,994,000 $ 5,275,000 $629,000 $260,000 $5,644,000 Allowance for Depreciation Building 651,500 $600,000 $51,500 Machinery and equipment1.732,500392,200 $2,332,500 $443,700 2,124,700 2,776.200 Chapter 19 / COMPLETING THE TESTS IN THE ACQUISITION AND PAYMENT CYCLE b. How will the tests of controls and substantive tests of transactions results and your lilu JUARa the audit of property, plant, and equipment and leases Substantive tests of transac- Required conclusions (1 through 7) affect your planned tests of details for property, plant, and equipment and leases? State your conclusions for each balance-related audit objec- . Explain the relationship between the tests of controls and substantive tests of transac- d. How will the tests of controls and substantive tests of transactions results and your tive. Do not write an audit program. tio ns results in Case 18-30 and the audit of expenses. conclusions (1 through 7) affect your planned tests of details of balances for expenses? Do not write an audit program. 19-26 (OBJECTIVE 19-2) You are doing the audit of the UTE Corporation for the year ended December 31, 2016. The following schedule for the property, plant, and.equipment and related allowance for depreciation accounts has been compared the opening balances with the prior year's audit documentation prepared by the dlient. You have UTE Corporation Analysis of Property, Plant, and Equipment and Related Allowance for Depreciation Accounts Year Ended December 31,2016 Per Books 12/31/15 Additions Retirements 12/31/16 Final Description Assets $ 275,000 Land Buildings $225,000 $50,000 1,200,000 175,000 1,375,000 Machinery and equipment 3,850,000 404,000 260,000 3,994,000 $ 5,275,000 $629,000 $260,000 $5,644,000 Allowance for Depreciation Building 651,500 $600,000 $51,500 Machinery and equipment1.732,500392,200 $2,332,500 $443,700 2,124,700 2,776.200 Chapter 19 / COMPLETING THE TESTS IN THE ACQUISITION AND PAYMENT CYCLE
