Review debt provisions and senior securities with respect to liquidation preferences, dividends in arrears, and restrictions on the payment of dividends or the issue of stock. a. State the purpose of each of these seven audit procedures.
The following audit procedures are commonly performed by auditors in the verification of owners’ equity: 1. Review articles of incorporation and bylaws for provisions about owners’ equity. 2. Analyze all owners’ equity accounts for the year and document the nature of any recorded change in each account. 3. Confirm capital stock transactions with the stock […]