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The audit of accounts payable includes substantive procedures. Substantive procedures for accounts payable include: Obtain or prepare a trial balance of accounts payable as of

The audit of accounts payable includes substantive procedures. Substantive procedures for accounts payable include:

  • Obtain or prepare a trial balance of accounts payable as of the balance sheet date and reconcile with the general ledger.
  • Vouch balances payable to selected creditors by inspection of supporting documents.
  • Reconcile liabilities with monthly statements from creditors.
  • Confirm accounts payable by direct correspondence with vendors.
  • Perform analytical procedures for accounts payable and related accounts.
  • Search for unrecorded accounts payable.
  • Perform procedures to identify accounts payable to related parties.
  • Evaluate proper balance sheet presentation and disclosure of accounts payable.

Briefly describe the purpose of three substantive procedures for accounts payable?

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