Principles Of Auditing & Other Assurance Services
21st Edition
ISBN: 9781259916984
Author: WHITTINGTON, Ray, Pany, Kurt
Publisher: Mcgraw-hill Education,
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Question
Chapter 6, Problem 15RQ
To determine
Identify the general objectives of the auditors’ substantive procedures related to the asset.
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Check out a sample textbook solutionStudents have asked these similar questions
Which of the following audit procedures will apply to obtain the reliable audit evidence relating to the existence of tangible assets?
O a. Reperformance
O b. Confirmation
O c. Inspection
O d. Recalculation
Listed below are several of the auditors’ general objectives in performing substantive procedures on an asset account:
Establish the existence of assets.
Establish that the company has rights to the assets.
Establish the completeness of recorded assets.
Verify the cutoff of transactions.
Determine the appropriate valuation of the assets.
Establish the clerical accuracy of the underlying records.
Determine the appropriate financial statement presentation and disclosure of the assets.
Required:
Indicate the general objective (or objectives) of each of the following audit procedures:
a. Observe the client’s physical inventory.
b. Locate on the client’s premises a sample of the equipment items listed in the subsidiary plant and equipment ledger.
c. Obtain a listing of inventory and reconcile the total to the general ledger.
d. Trace a sample of shipping documents to recorded sales transactions.
e. Identify related parties.
f. Vouch selected purchases of…
What assertions found in PP&E, investments, and intangibles accounts are of interest to an auditor during the examination of the expenditure and acquisition cycle?
Chapter 6 Solutions
Principles Of Auditing & Other Assurance Services
Ch. 6 - Prob. 1RQCh. 6 - Prob. 2RQCh. 6 - Prob. 3RQCh. 6 - Discuss what is meant by the phrase shopping for...Ch. 6 - Prob. 5RQCh. 6 - Prob. 6RQCh. 6 - Prob. 7RQCh. 6 - Prob. 8RQCh. 6 - Prob. 9RQCh. 6 - Prob. 10RQ
Ch. 6 - Prob. 11RQCh. 6 - Prob. 12RQCh. 6 - Prob. 13RQCh. 6 - Prob. 14RQCh. 6 - Prob. 15RQCh. 6 - What is meant by making a proper year-end cutoff?...Ch. 6 - Prob. 17RQCh. 6 - Prob. 18RQCh. 6 - Prob. 19RQCh. 6 - Prob. 20RQCh. 6 - Auditing standards require the auditors to have a...Ch. 6 - Prob. 22RQCh. 6 - Prob. 23RQCh. 6 - Prob. 24QRACh. 6 - Prob. 25QRACh. 6 - Prob. 26QRACh. 6 - Prob. 27QRACh. 6 - Prob. 28QRACh. 6 - Prob. 29QRACh. 6 - Prob. 30QRACh. 6 - Prob. 31QRACh. 6 - Prob. 32QRACh. 6 - Prob. 33QRACh. 6 - Prob. 34QRACh. 6 - Prob. 35QRACh. 6 - Prob. 36QRACh. 6 - Prob. 37QRACh. 6 - Prob. 38AOQCh. 6 - Prob. 38BOQCh. 6 - Prob. 38COQCh. 6 - Prob. 38DOQCh. 6 - Prob. 38EOQCh. 6 - Prob. 38FOQCh. 6 - Prob. 38GOQCh. 6 - Prob. 38HOQCh. 6 - Prob. 38IOQCh. 6 - Prob. 38JOQCh. 6 - Prob. 38KOQCh. 6 - Prob. 38LOQCh. 6 - Prob. 39OQCh. 6 - Prob. 40OQCh. 6 - Prob. 41OQCh. 6 - Prob. 42AOQCh. 6 - Prob. 42BOQCh. 6 - Prob. 42COQCh. 6 - Tracing from source documents to journals most...Ch. 6 - Vouching from journals (or ledgers) to source...Ch. 6 - For each definition (or portion of a definition)...Ch. 6 - Prob. 44PCh. 6 - Prob. 45PCh. 6 - Tammy Potter, a new partner with the regional CPA...
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Similar questions
- Explain the characteristics of audit documentation should possess.arrow_forwardExplain the audit objectives of existence or occurence, completeness, rights and obligations, valuation or allocation, and presentation and disclosurearrow_forwardElements of an auditor's report? The most important component?arrow_forward
- Describe the audits and auditors ingovernmental, internal, and operationalauditing.arrow_forwardWhich of the following categories of principles is most closely related to gathering audit evidence?a. Performance.b. Reasonable assurance.c. Reporting.d. Responsibilities.arrow_forwardIn auditing depreciation expense, what major considerationsshould the auditor keep in mind? Explain how each can be verifiedarrow_forward
- The meaning, objectives and effectiveness of audit reports.arrow_forwardWhich of the following BEST describes the purpose of the audit planning phase? a) To determine the timing of the audit work. b) To communicate the results of the audit. c) To document the scope, objective(s), preliminary risk assessment and plan for the audit. d) To document the plan for substantive audit requirements.arrow_forwardDefine audit risk and describe how it can be broken down into the three separate components of the audit risk model to help assess and respond to such risks during the audit planning process.arrow_forward
- Which of the following is the major purpose of performing analytical procedures in internal audits? a. To perform additional audit procedures. b. To plan the audit engagement. c. To obtain audit evidence. d. To study relationships among elements of information.arrow_forwardThe scope of an audit includes: a. Reliable Information b. Legal Requirements c. Entity Aspects d. All options are correctarrow_forwardWhat are the two main categories of the Internal Audit Standards? a) Attribute and Performance b) Planning and Execution c) Internal and External d) Audits and Consultingarrow_forward
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