hich of the following is correct regarding the result of a cash disbursement cut-off rendered by an auditor to gather evidence regarding the completeness assertion of a financial statements audit client's liability accounts? A. A January cash disbursement entry debiting accrued expense supported by documents dated December shall understate prior year's liability and profit. B. A January cash disbursement entry debiting accrued expense supported by documents dated January shall overstate prior year's liability and profit. C. A January cash disbursement entry debiting expense supported by documents dated January shall understate prior year's liability and overstate prior year's profit. D. A January cash disbursement entry debiting expense supported by documents dated January shall have no effect on the prior year's liability and profit.
Which of the following is correct regarding the result of a cash disbursement cut-off rendered by an auditor to gather evidence regarding the completeness assertion of a financial statements audit client's liability accounts?
A. A January cash disbursement entry debiting accrued expense supported by documents dated December shall understate prior year's liability and profit.
B. A January cash disbursement entry debiting accrued expense supported by documents dated January shall overstate prior year's liability and profit.
C. A January cash disbursement entry debiting expense supported by documents dated January shall understate prior year's liability and overstate prior year's profit.
D. A January cash disbursement entry debiting expense supported by documents dated January shall have no effect on the prior year's liability and profit.
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