Which of the following procedures would an auditor most likely perform to obtain evidence about an entity's subsequent events?
A. Reconcile bank activity for the month after the balance sheet date with cash activity reflected in the accounting records.
B. Obtain a letter from the entity's attorney describing any pending litigation, unasserted claims, and loss contingencies.
C. Review the treasurer's monthly reports on temporary investments owned, purchased, and sold.
D. Examine on a test basis the purchase invoices and receiving reports for several days after the inventory date.
B. Obtain a letter from the entity's attorney describing any pending litigation, unasserted claims, and loss contingencies.
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Georgia deposits $4,000 every three months for five years. The first deposit is made on March 31, 2016, and the last deposit is made on December 31, 2020. The fund earns 16% and interest is compounded quarterly. How much money will Georgia have on December 31, 2020, immediately after her last deposit? Factors for future value of an annuity of $1 are
A) $123,876 B) $119,112 C) $110,034 D) $107,508
A study that highlights the significant cost and revenue data between two alternatives is a(n):
a. cost analysis. b. income analysis. c. differential analysis. d. distribution analysis.
For reporting purposes, the personal assets and debts of a business owner should be combined with the assets and debts of the business
Indicate whether the statement is true or false
A useful guideline in designing strategy-facilitating policies and operating procedures is
A. to prescribe enough policies to give organizational members clear direction in implementing strategy and to place desirable boundaries on their actions, then empower them to act within these boundaries however they think makes sense. B. that strictly enforced policies work better than loosely enforced policies. C. to let individuals act in an empowered and self-directed way, subject only to the constraint that their actions and behavior be ethical and in step with the corporate culture. D. to prescribe enough policies and procedures that little is left to chance in performing value chain activities; employees should have no leeway to do things in a manner that deviates from the company's best practices standard. E. that more policies/procedures work better than few policies/procedures and that strict enforcement always beats lax enforcement.