Audit tests include tests of control and substantive procedures. Substantive procedures can be further divided into substantive analytical procedures, tests of balances, tests of transactions and test of disclosures.

Required: For each test below, select the type of audit test it represents.

TYPE OF TEST:

1. Confirm loan balances with financial institutions.
2. Examine the financial report to determine whether all related party loans are properly presented.
3. Vouch sales recorded in the sales journal to shipping documents.
4. Examine sales invoices for initials to see if they contain initials to indicate that prices and extensions have been checked.
5. Compare payroll expense to previous year and budget.
6. Recalculate depreciation figure.
7. Check cost of closing inventory to subsequent sales prices.