Chapter 18, Problem 26DQP

a.

To determine

Identify the voucher packages that is recorded in the wrong accounting period and prepare an adjusting entry to correct the financial statements for the year ended June 30,2016.

b.

To determine

Explain the manner in which the given situation will affect the correctness of the financial statements and state the manner in which the error can be discovered as an auditor.

c.

To determine

Explain the audit procedures that can be followed while making sure that cut off for purchases is accurate at the balance sheet date.

d.

To determine

Find out the internal controls that reduce the possibility of cutoff misstatements related to purchases.