(Substantive tests and audit evidence) In meeting the third standard of field work, theauditor may perform the following types of substantive tests: (a) tests of details of transac-tions, (b) tests of details of balances, and (c) analytical procedures. Below are kisted specificaudit procedures that fall within one of these categories.1. Compare actual results with budget expectations.2. Vouch entries in check register to "paid" checks.3. Recalculate accrued interest payable.4. Confirm customer balances.5. Calculate inventory turnover ratios and compare with industry data.6. Reconcile bank accounts ativear-end.7. Vouch sales journal entries to sales invoices.8. Count office supplies on hand at year-end.9. Examine deeds of ownership for land purchased during year.10. Obtain representation letter from management.11. Scan postings to repair expense for evidence of charges that should be capitałized.12. Ask storeroom supervisor about obsolete items.REQUIREDList the numbers of the foregoing procedures. For each procedure, indicate the type ofsubstantive test and the type of corroborating information obtained. Use the followingformat for vour answers:

Auditors employ the test of details to verify the specifics of particular transactions or balances.…

(Substantive tests and audit evidence) In meeting the third standard of field work, the auditor may perform the following types of substantive tests: (a) tests of details of transac- tions, (b) tests of details of balances, and (c) analytical procedures. Below are listed specific audit procedures that fall within one of these categories. 1. Compare actual results with budget expectations. 2. Vouch entries in check register to "paid" checks. 3. Recalculate accrued interest payable. 4. Confirm customer balances. 5. Calculate inventory turnover ratios and compare with industry data. 6. Reconcile bank accounts at year-end. 7. Vouch sales journal entries to sales invoices. 8. Count office supplies on hand at year-end. 9. Examine deeds of ownership for land purchased during year. 10. Obtain representation letter from management. 11. Scan postings to repair expense for evidence of charges that should be capitalized. 12. Ask storeroom supervisor about obsolete items. REQUIRED List the numbers of the foregoing procedures. For each procedure, indicate the type of substantive test and the type of corroborating information obtained. Use the following format for your answers:

(Substantive tests and audit evidence) In meeting the third standard of field work, the auditor may perform the following types of substantive tests: (a) tests of details of transac- tions, (b) tests of details of balances, and (c) analytical procedures. Below are listed specific audit procedures that fall within one of these categories. 1. Compare actual results with budget expectations. 2. Vouch entries in check register to "paid" checks. 3. Recalculate accrued interest payable. 4. Confirm customer balances. 5. Calculate inventory turnover ratios and compare with industry data. 6. Reconcile bank accounts at year-end. 7. Vouch sales journal entries to sales invoices. 8. Count office supplies on hand at year-end. 9. Examine deeds of ownership for land purchased during year. 10. Obtain representation letter from management. 11. Scan postings to repair expense for evidence of charges that should be capitalized. 12. Ask storeroom supervisor about obsolete items. REQUIRED List the numbers of the foregoing procedures. For each procedure, indicate the type of substantive test and the type of corroborating information obtained. Use the following format for your answers:

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

Chapter11: Auditing Inventory, Goods And Services, And Accounts Payable: The Acquisition And Payment Cycle

Section: Chapter Questions

Problem 35RQSC

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