Boris Johnson suggests the following audit procedure should be included in the audit program to gather evidence

Question:

Boris Johnson suggests the following audit procedure should be included in the audit program to gather evidence on the cut-off assertion for the revenue account:

Select a sample of sales from the sales journal and agree the dates on the invoices to the dates on the delivery documents signed by the customer.

Required

Explain how the procedure addresses the assertion. What does it mean if (i) the dates agree, or (ii) the dates do not agree?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For answer-question

Auditing A Practical Approach

ISBN: 9780730364573

3rd Edition

Authors: Robyn Moroney, Fiona Campbell, Jane Hamilton

See More Books

Question Posted: Nov 10, 2023 12:48 AM

See More Questions

Michael Rutherford suggests the following audit procedure should be included in the audit program to gather evidence on the cut-off assertion for the revenue account: Select a sample of sales from...
Boris Shonkoff suggests the following audit procedure should be included in the audit program to gather evidence on the cut-off assertion for the revenue account: Select a sample of sales from the...
Seb Lee and Boris Shonkoff are discussing the audit program for the revenue account. Seb and Boris disagree about whether they should use procedure A or B below to test the occurrence assertion for...
Lavage Rapide is a Canadian company that owns and operates a large automatic car wash facility near Montreal. The following table provides data concerning the company's costs: Fixed Cost Cost per Car...
Chan Corp. completed the following transactions in 2012, the first year of operation. 1. Issued 20,000 shares of $20 par common stock for $30 per share. 2. Issued 5,000 shares of $50 par, 5 percent,...
Costs incurred for intangible assets are generally expensed when they are: A . internally developed. B . individually acquired. C . acquired in a business combination.
Refer to the information in Exercise 24-3 and assume instead that double-declining depreciation is applied. Compute the machines payback period (ignore taxes). (Round the payback period to three...
On May 31, the inventory balances of Tog Designs, a manufacturer of high- quality childrens clothing, were as follows: Materials Inventory, $21,360; Work in Process Inventory, $15,112; and Finished...
(a) 1. Assume a Heckscher-Ohlin world. The two countries are China and the U.S. The two goods are wheat and cloth and the two factors are labor and capital. Suppose each ton of wheat requires 4 units...
Myles Etter and Crystal Santori are partners who share in the income equally and have capital balances of $210,000 and $62,500, respectively. Etter, with the consent of Santori, sells one-third of...
Boris Johnson has another suggestion for the audit program for the revenue account. This time he suggests: Select a sample of sales from the sales journal and agree the details in the journal to the...
Jenny has been asked to join the team responsible for designing the audit program for a new client, Sangekar Industries Ltd (Sangekar), a manufacturing and wholesaling firm. Sangekar recently went...
Explain why property investors are expected to sell in London and buy in New York and why a fall in the pound might make this predicted effect of Brexit less likely. Property investors are looking...
PU Ltd contemplates raising $2,000,000 through rights offering. The subscription price is $25 per share. The company has 320,000 shares outstanding. The stock is currently trading at $30 per share....
a pension fund manager decides to invest a total of at most 25 million in the US Treasury bonds paying 3% annual interest and in mutual funds paying 5% annual interest. It plans to invest at least 5...
3. Company 2 has purchased the following equipment on January 1, 2000. The costs of the assets are listed below. Use this information, to answer the questions below. (20 Points) $250,000 Equipment A...
https://www.solutioninn.com/book_solution_view?mid=51840432075&pid=25456284075&bid=38631675 This question with an explanation please. 9-48. The G. Saussy Manufacturing company is putting out 4 new...
Given each of the ratios below, state whether the unknown angle will be larger or smaller than the one given. Sin 13 Sin 47 Sin 44 Sin 23 a. b. C. 6 X 10.5 y a Sin 20 Sin 72 5.1
Fortress Hill Corporation has assembled the following information related to the purchase of a new cable car: Using incremental analysis and only relevant information, compute the difference in favor...
How has the globalization of firms affected the diversity of their employees? Why has increased diversity put an additional burden on accounting systems?
Propel Equipment rents heavy equipment, such as cranes, bulldozers, and dump trucks, to industrial contractors. One of Propels larger expenses is repairs and maintenance on the rental equipment. The...
Analysis and evaluation: Using AS 2605 as a guide, discuss how Leo & Lee would evaluate the internal audit function of MSI. Based on the information, make a decision regarding the use of MSIs...
The quantity of evidence that an auditor will gather: a. Varies with the assessed risk of material misstatement. b. Is the same for most audits because it has to be appropriate. c. Depends on the...
1.Use proper datavisualisationtools tovisualisethe following: 1)Total revenue, total contribution, total profit and total fixed costs forallof DudleyLtdsproducts during 2017-2025. 2)Thelife cycle...
Assuming you are working for Toronto International Freight Forwarder located at 1234 American Drive, Mississauga, Ont. L4V 2V3 and you have the following 3 shipments that you would like to...
1.Identify at least (three) key areas that you would need to first examine/assess before you begin the repositioning process. 2.Justify your selection (of the three key areas) by providing arguments...

Boris Johnson suggests the following audit procedure should be included in the audit program to gather evidence

Question:

Step by Step Answer:

Boris Johnsons suggested audit procedure aims to address the cutoff assertion for the revenue account The cutoff assertion is concerned with ensuring ...View the full answer

Auditing A Practical Approach

Students also viewed these Business questions