To determine that all transactions relating to long-term debts are properly recorded, the auditor would most likely * a. Trace authorization for issuance of debt to credits to the long-term debt account b. Recalculate interest expense and amortization of premium or discount, if any. c. Ascertain the amount of long term debt maturing within one year d. Review minutes of BOD meetings
To determine that all transactions relating to long-term debts are properly recorded, the auditor would most likely * a. Trace authorization for issuance of debt to credits to the long-term debt account b. Recalculate interest expense and amortization of premium or discount, if any. c. Ascertain the amount of long term debt maturing within one year d. Review minutes of BOD meetings
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
Chapter13: Auditing Debt, Equity, And Long-term Liabilities Requiring Management Estimates
Section: Chapter Questions
Problem 15CYBK
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To determine that all transactions relating to long-term debts are properly recorded, the auditor would most likely *
a. Trace authorization for issuance of debt to credits to the long-term debt account
b. Recalculate interest expense and amortization of premium or discount, if any.
c. Ascertain the amount of long term debt maturing within one year
d. Review minutes of BOD meetings
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