g. When confi rming accounts payable, the approach is most likely to be one of:

(1) Selecting the accounts with the largest balances at year-end, plus a sample of other accounts.

(2) Selecting the accounts of companies with whom the client has previously done the most business, plus a sample of other accounts.

(3) Selecting a random sample of accounts payable at year-end.

(4) Confi rming all accounts.

h. In an audit, the valuation of year-end accounts payable is most likely addressed by:

(1) Confi rmation.

(2) Examination of cash disbursements immediately prior to year-end.

(3) Examination of cash disbursements immediately subsequent to year-end.

(4) Analytical procedures applied to vouchers payable at year-end.

i. Ordinarily, the most signifi cant assertion relating to accounts payable is:

(1) Completeness.

(2) Existence.

(3) Presentation.

(4) Valuation.

j. The least likely approach in auditing managements estimate relating to an accrued liability is to:

(1) Independently develop an estimate of the amount to compare to managements estimate.

(2) Review and test managements process of developing the estimate.

(3) Review subsequent events or transactions bearing on the estimate.

(4) Send confi rmations relating to the estimate.

k. To determine that each voucher is submitted and paid only once, when a payment is approved, supporting documents should be canceled by the:

(1) Authorized members of the audit committee.

(2) Accounting department.

(3) Individual who signs the checks.

(4) Chief executive offi cer.

l. In performing a test of controls, the auditors vouch a sample of entries in the purchases journal to the supporting documents. Which assertion would this test of controls most likely test?

(1) Completeness.

(2) Existence.

(3) Valuation.

(4) Rights.