Below are $10$ audit procedures. Classify each procedure according to the following types of audit evidence:

Physical examination,

Confirmation,

Documentation,

Observation,

Inquiry of the client,

Reperformance, and

Analytical procedure.

You may use each type more than once. and may not use any of the choices at all.

Trace column totals from the cash disbursements journal to the general ledger.

Examine a piece of equipment to make sure a recent purchase of equipment was actually received and is in operation.

Review the total of repairs and maintenance for each month to determine whether any month's total was unusually large.

Foot entries in the sales journal to determine whether they were correctly totaled by the client.

Watch client employees count inventory to determine whether company procedures are being followed.

Compare vendor names and amounts on purchase invoices with entries in the purchases journal.

Calculate the ratio of cost of goods sold to sales as a test of overall reasonableness of gross margin relative to the preceding year.

Obtain information about the client's internal controls by asking questions of client personnel.

Trace postings from the sales journal to the general ledger accounts.

Count inventory items and record the amount in the audit files.

Choose...

Choose...

Documentation

Physical examination

Inquiry of the client

Reperformance

Analytical procedure

Confirmation

Observation