• For the 10 scenarios that follow, fill in the empty cells to the right to correctly classify each of the 10 scenarios and relate them to the correct cycle, audit test, management assertion, audit objective, control activity, and/or evidence type using a corresponding letter (ex: A or BB) from the list below for each cell.
• Ignore cells that are blacked-out. A given selection can be used once, more than once, or not at all. Only one letter per cell (ex: FF is a letter). It is possible that there might be more than one correct answer for a question - but you should choose only one letter (ex: A or BB) per cell.
• Note that items above with dashes are replications - therefore you must find the caption with the same wording but with a letter preceding the caption and use its letter for the empty cell (ex: the letter H is to be used for all answers using Completeness though there are three other Completeness items with dashes preceding them) - NEVER use dashes as the answer!

Selection Choices

A. Segregation of duties B. Design/use of documents C. Safeguards of assets & rec. D. Independent checks on perf. E. Proper authorization F. Occurrence G. Classification H. Completeness I. Accuracy J. Cutoff K. Valuation and allocation L. Rights and obligations M. Existence Completeness N. Tests of controls O. Substantive tests of transactions

P. Analytical procedures Q. Tests of details of balances Occurrence R. Posting and Summarization Completeness Accuracy Classification Cutoff T. Realizable value U. Calibration Accuracy Existence Completeness V. Detail tie-in Classification Cutoff

Rights and obligations W. Physical examination X. Inquiries of the client Y. Confirmation Z. Documentation Analytical procedures AA. Recalculation BB. Respecification CC. Reperformance DD. Observation EE. Payroll and personnel FF. Sales and collection GG. Acquisition and payment HH. Inventory and warehousing II. Capital acquisition and repayment JJ. Financing and investing

SCENARIOS

Scenario	Control Activity	Evidence Type	Audit Test	Cycle	Management Assertion	Audit Objective
1. Audit procedure: Test for obsolete inventory by asking factory employees and management whether they know of slow-moving or damaged goods.
2. Audit procedure: Compare inventory turnover with that of previous years.
3. Internal Control: The computer calculates gross and net pay based on hours inputted and information in employee master files, and payroll accounting personnel double-check the mathematical accuracy on a test basis.
4. Internal Control: Controller reviews monthly bank reconciliations to determine if mistakes were made by clerks.
5. Specific Transaction-Related Audit Objective: Cash disbursement transactions are recorded on the correct dates.
6. Audit procedure: Watch employees count inventory to determine whether company procedures are being followed.
7. Audit procedure: Trace the total from the cash disbursements journal to the general ledger control account.
8. Audit procedure: Trace sales journal entries to supporting documents, including duplicate sales invoice, bill of lading, sales order, and customer order.
9. Internal Control: Cash receipts are recorded on a daily basis.
10. Audit procedure: Scan the sales journal, looking for large and unusual transactions requiring investigation.