An auditor wishes to perform tests of controls on an entity's cash disbursements procedures. If the control activities leave no audit trail of documentary evidence, the auditor most likely will test the procedures by:
A. confirmation and observation.
B. inquiry and analytical procedures.
C. observation and inquiry.
D. analytical procedures and confirmation.
Answer: C
You might also like to view...
The factors involved in computing periodic depreciation charges for an asset do not include the
A) method of cost allocation B) current value of the asset C) service life D) residual value of the asset
The Sales Discount account is a(n)
a. revenue account; b. contra-revenue account; c. expense account; d. contra-expense account; e. contra-asset account
When a dividend is declared and paid in stock,
a. total stockholders' equity does not change. b. total stockholders' equity decreases. c. the current ratio increases. d. the amount of working capital decreases.
In which level of moral development is an individual who judges morality actions by their direct consequences?
A. pre-conventional morality B. conventional morality C. post-conventional morality D. universal morality