Questions 1 through 9 are typically found in questionnaires used by auditors to obtain an understanding of internal control in the acquisition and payment cycle. In using the questionnaire for a client, a “yes” response to a question indicates a possible internal control, whereas a “no” indicates a potential deficiency. 1. Is the purchasing function […]
You are auditing the financial statements of Austin Software Company, which is a fast-growing software development company. As part of the company’s strategy, management has been aggressively pursuing acquisitions of other companies. Some of the prior acquisitions resulted in the recording of goodwill. During your review of income and expense accounts, you noted a material […]
The following program has been prepared for the audit of accrued real estate taxes of a client that pays taxes on 25 different pieces of property, some of which have been acquired in the current year: 1. Obtain a schedule of accrued taxes from the client and tie the total to the general ledger. 2. […]
1. Distinguish between the evaluation of the adequacy of insurance coverage and the veri- fication of prepaid insurance. Explain which is more important in a typical audit. 2. In verifying accounts payable, it is common to restrict the audit sample to a small portion of the population items, whereas in auditing accrued property taxes, it […]
The following audit procedures are included in the audit program for the audit of the financial statements of Golden State Overnight Express: 1. Select a sample of acquisitions from the acquisitions journal and perform the following: a. Vouch the transaction to the voucher package that includes the matched receiving report, purchase order, and vendor invoice. […]
1. Distinguish between the evaluation of the adequacy of insurance coverage and the verification of prepaid insurance. Explain which is more important in a typical audit. 2. In verifying accounts payable, it is common to restrict the audit sample to a small portion of the population items, whereas in auditing accrued property taxes, it is […]
The following audit procedures are included in the audit program for the audit of the financial statements of Golden State Overnight Express: 1. Select a sample of acquisitions from the acquisitions journal and perform the following: a. Vouch the transaction to the voucher package that includes the matched receiving report, purchase order, and vendor invoice. […]
Instructions: The following factors are critical in project evaluations: a. The novelty of the topic (30%) b. Data-driven analysis (35%) c. Well-written document (35%) i. Writing ii. Using peer-reviewed articles You have total flexibility regarding the topic of the project as long as it is related to finance There are many ways you can write […]
Consider a healthcare organization in Saudi Arabia and assume they have a debt-to-equity ratio of 1.3. Address the following requirements: Is this good performance on this ratio? Discuss which actions would improve this ratio. Discuss some of the problems encountered when performing financial statements and operating indicator analysis. Embed course material concepts, principles, and theories […]
COMPLETING THE TESTS IN THE SALES AND COLLECTION CYCLE: ACCOUNTS RECEIVABLE 1. Describe two types of substantive analytical procedures often performed in the audit of the sales and collection cycle and describe how they might indicate a possible misstatement in the financial statements. 2. Which of the nine accounts receivable balance-related audit objectives can be […]
