Which of the following procedures is likely to provide the highest quality evidence?

Question 7 options:

	Inspection of internal documents
	Inspection of physical assets
	Written inquiry of the Chief Financial Officer
	Verbal inquiry of the Controller

Which of the following describes a substantive test?

Question 8 options:

	The auditor asks client personnel to explain how payroll checks are distributed to temporary employees.
	The auditor observes client personnel counting year-end inventory. During the observation, the auditor makes his own counts of several inventory items. He writes his counts down and later checks to ensure that the inventory items are included in the client's year-end inventory balance at the same quantities he observed.
	The auditor compares signatures on a lease agreement to the list of individuals authorized to execute legal contracts on behalf of the client.
	The auditor observes client personnel opening the mail and restrictively endorsing all checks received (i.e., stamping, "For Deposit Only - XYZ Company")