In performing risk assessment procedures for property, plant and equipment, an auditor may inquire of theclient personnel which of the following questions?O Are depreciation policies in accordance with applicable financial reporting framework?O All of the choices.O Are all property, plant and equipment purchases, including finance leases, properly authorized, recorded in accordance withthe capitalization threshold (e.g., P10,000) and in correct accounting period?O Are disposals of property, plant and equipment properly authorized, removed from records including depreciation, andrecorded in correct accounting period?

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In performing risk assessment procedures for property, plant and equipment, an auditor may inquire of the client personnel which of the following questions?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

In performing risk assessment procedures for property, plant and equipment, an auditor may inquire of the
client personnel which of the following questions?
O Are depreciation policies in accordance with applicable financial reporting framework?
O All of the choices.
O Are all property, plant and equipment purchases, including finance leases, properly authorized, recorded in accordance with
the capitalization threshold (e.g., P10,000) and in correct accounting period?
O Are disposals of property, plant and equipment properly authorized, removed from records including depreciation, and
recorded in correct accounting period?

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