Ejercicios Capitulo 5-1.docx

Ejercicios Capitulo 5-1.docx - UniversidaddePuertoRico

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Universidad de Puerto Rico Facultad de Administración de Empresas Contabilidad 4023 Respuestas de Estudiantes Pregunta 34 A. For  each audit procedure,  identify the  type of evidence that the  procedure gathers. If the procedure gathers documentary evidence, state  whether   the   evidence   is   received   directly   by   the   auditors,   created  externally and held by the client, or created internally by the client. 1. Observe the client's inventory-taking procedure. -  Physical Evidence 2. Obtain a report on the valuation of inventory by a specialist. -  Third- Party Representatives evidence 3. Examine an invoice in support of a sales transaction. -   Evidence  created internally by the client  4. Examine an invoice in support of a purchase transaction -  Evidence  created outside the client, held by the client   5.   Test   the   extensions   on   an   inventory   schedule   -   Computations  evidence 6. Inspect the client's bank statements -   Evidence created outside the  client, held by the client   7. Examine the equipment in the client's plant -  Physical Evidence
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Cont. 4023 – Cap. 5 Página 2 8. Obtain a confirmation of an account payable directly from the vendor -  Evidence   created   outside   the   client,   transmitted   directly   to   the  auditors 9. Review the client's general ledger -  Accounting information System  evidence 10.   Perform   analytical   procedures   to   test   the   completeness   of   sales  transactions -  Data interrelationships evidence B. Comment on the relative reliability of the three forms of documentary  evidence. 1. Documentary evidence created outside the client organization and  transmitted   directly   to   the   auditors   -   Few   of   these   documents     are  prepared. They may be more reliable than the documents created inside  the organization (because they are a third party) but may not always be  accurate. 2. Documentary evidence created outside the client organization and  held by the client   - Examples of these are Bank statements, vendor's  invoices, notes payable, property tax bills, etc.   They are considered a  stronger type of evidence than the documents created by the client, but  one must be careful that these documents are original and not copies or  fax copies of the original because if they are, there is a possibility that  they may have been tampered with. 3. Documentary evidence created and held within the client organization 
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This note was uploaded on 03/23/2011 for the course ADEM 4023 taught by Professor Navarro during the Spring '11 term at UPR Río Piedras.

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Ejercicios Capitulo 5-1.docx - UniversidaddePuertoRico

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