The following auditing procedures were performedin the audit of accounts payable:1. Obtain a list of accounts payable. Re-add and compare with the general ledger.2. Trace from the general ledger trial balance and supporting documentation todetermine whether accounts payable, related parties, and other related assets andliabilities are properly included on the financial statements.3. For liabilities that are payable in a foreign currency, determine the exchange rateand check calculations.4. Discuss with the bookkeeper whether any amounts included on the accountspayable list are due to related parties, debit balances, or notes payable.5. Obtain vendors’ statements from the controller and reconcile them to the listing ofaccounts payable.6. Obtain vendors’ statements directly from vendors and reconcile them to the listingof accounts payable.7. Examine supporting documents for cash disbursements several days before andafter year-end.8. Examine the acquisitions and cash disbursements journals for the last few days ofthe current period and first few days of the succeeding period, looking for large orunusual transactions.a. For each procedure, identify the type of audit evidence used.b. For each procedure, identify which balance-related audit objective(s) were satisfied.c. Evaluate the need to have certain objectives satisfied by more than one audit procedure.
The following auditing procedures were performed
in the audit of accounts payable:
1. Obtain a list of accounts payable. Re-add and compare with the general ledger.
2. Trace from the general ledger
determine whether accounts payable, related parties, and other related assets and
liabilities are properly included on the financial statements.
3. For liabilities that are payable in a foreign currency, determine the exchange rate
and check calculations.
4. Discuss with the bookkeeper whether any amounts included on the accounts
payable list are due to related parties, debit balances, or notes payable.
5. Obtain vendors’ statements from the controller and reconcile them to the listing of
accounts payable.
6. Obtain vendors’ statements directly from vendors and reconcile them to the listing
of accounts payable.
7. Examine supporting documents for cash disbursements several days before and
after year-end.
8. Examine the acquisitions and cash disbursements journals for the last few days of
the current period and first few days of the succeeding period, looking for large or
unusual transactions.
a. For each procedure, identify the type of audit evidence used.
b. For each procedure, identify which balance-related audit objective(s) were satisfied.
c. Evaluate the need to have certain objectives satisfied by more than one
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