Tracing for several days before and after year-end to recorded purchases is designed to test 1. the proper cutoff of purchase transactions. To help ensure that the physical inventory is taken accurately and completely, early in the audit the auditors 2. should participate in the of the count of physical inventory. 3. Inventories stored in public warehouses should be with the custodians. 4. A decreasing rate of inventory turnover suggests the possibility of inventory made during the observation of the physical inventory should be The details of the auditors' 5. recorded in their working papers to later check the accuracy of the final inventory listing.

Tracing for several days before and after year-end to recorded purchases is designed to test 1. the proper cutoff of purchase transactions. To help ensure that the physical inventory is taken accurately and completely, early in the audit the auditors 2. should participate in the of the count of physical inventory. 3. Inventories stored in public warehouses should be with the custodians. 4. A decreasing rate of inventory turnover suggests the possibility of inventory made during the observation of the physical inventory should be The details of the auditors' 5. recorded in their working papers to later check the accuracy of the final inventory listing.

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 36RQSC

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