For each of the procedures described in the table below, identify the audit procedure performed and classification of the audit procedure using the following: (Each of the "Audit Procedures" and "Classification of Audit Procedure" may be used once, more than once, or not at all.) Audit Procedures: Classification of Audit Procedure: (1) Analytical procedure (9) Substantive procedures (2) Confirmation (10) Test of controls (3) Inquiry (4) Inspection of records or documents (5) Inspection of tangible assets (6) Observation (7) Recalculation (8) Reperformance Procedure Audit Procedure Classification of Audit Procedure a. Requested responses directly from customers as to amounts due. b. Compared total bad debts this year with the totals for the previous two years. c. Questioned management about likely total uncollectible accounts. d. Watched the accounting clerk record the daily deposit of cash receipts. e. Examined invoice to obtain evidence in support of the ending recorded balance of a customer. f. Compared a sample of sales invoices to credit files to determine whether the customers were on the approved customer list. g. Examined a sample of sales invoices to see if they were initialized by the credit manager indicating credit approval.

Auditing: A Risk Based-Approach (MindTap Course List)

11th Edition

ISBN:9781337619455

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter5: Professional Auditing Standards And The Audit Opinion Formulation Process

Section: Chapter Questions

Problem 24CYBK

See similar textbooks

Related questions

Question

100%

For each of the procedures described in the table below, identify the audit procedure performed and classification of the audit procedure using the following: (Each of the "Audit Procedures" and "Classification of Audit Procedure" may be used once, more than once, or not at all.)

Audit Procedures:	Classification of Audit Procedure:
(1)	Analytical procedure	(9)	Substantive procedures
(2)	Confirmation	(10)	Test of controls
(3)	Inquiry
(4)	Inspection of records or documents
(5)	Inspection of tangible assets
(6)	Observation
(7)	Recalculation
(8)	Reperformance

	Procedure	Audit Procedure	Classification of Audit Procedure
a.	Requested responses directly from customers as to amounts due.
b.	Compared total bad debts this year with the totals for the previous two years.
c.	Questioned management about likely total uncollectible accounts.
d.	Watched the accounting clerk record the daily deposit of cash receipts.
e.	Examined invoice to obtain evidence in support of the ending recorded balance of a customer.
f.	Compared a sample of sales invoices to credit files to determine whether the customers were on the approved customer list.
g.	Examined a sample of sales invoices to see if they were initialized by the credit manager indicating credit approval.

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Audit Strategy, Audit Planning and Audit Programme

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.