Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

For each of following specific audit procedures (A to F) state the specific audit assertion associated with the audit procedure. Be sure to include the

For each of following specific audit procedures (A to F) state the specific audit assertion associated with the audit procedure. Be sure to include the type, i.e. whether it is a transaction-related, balance-related or presentation & disclosure-related audit assertion.

For each specific audit assertion identified, state the General Audit Assertion and Explain why. Organize your answer in two columns as follows:

Specific audit assertion and type (1 mark each)

General Audit Assertion with reason (1 mark each)

A. Obtained a client prepared bank reconciliation and agreed the outstanding deposits to the bank statement of the following month.

B. Externally confirmed the terms and balances of bonds payable with creditors

C. Calculated an estimated total managerial payroll expense by multiplying the average salary by the number of managers. Compared the estimated payroll expense with actual expense and inquired with payroll manager to obtain the cause for the 30% variance.

D. Recalculated depreciation expense related to property, plant, and equipment.

E. Inspected accounts receivable aged trial balance to identify balances greater than 90 days old and traced the amounts to subsequent payments made by customer.

F. Discussed significant fluctuation in repairs and maintenance account with client management.

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_2

Step: 3

blur-text-image_3

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

Interpreting Company Reports And Accounts

Authors: Geoffrey Holmes, Alan Sugden, Paul Gee

10th Edition

0273711415, 9780273711414

More Books

Students also viewed these Accounting questions

Question

Describe three of Fechners psychophysical methods.

Answered: 1 week ago

Question

What is job rotation ?

Answered: 1 week ago

Question

Discuss how selfesteem is developed.

Answered: 1 week ago

Question

Identify ways to increase your selfesteem.

Answered: 1 week ago

Question

Define self-esteem and discuss its impact on your life.

Answered: 1 week ago