Mary Monitor CPA noted that ABC Co received goods prior to year end that were

Mary monitor cpa noted that abc co received goods

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16.Mary Monitor, CPA, noted that ABC Co. received goods prior to year-end that were included in physical inventory but had not been recorded. In this case, which of the following adjustments should be made? A. Debit Purchases/credit Cost of Goods Sold.B. None.C. Debit Inventory/credit Accounts Payable.D. Debit Cost of Goods Sold/credit Accounts Payable. 17.L. Martinez, CPA, was auditing a client, Marvelous Retail Company and selected a sample of inventory items from the perpetual records and vouched additions to receiving reports. This procedure was intended to satisfy which POCAOB assertion? 18.An auditor who wished to test for the existence or occurrence of inventory would most likely select a sample of inventory items from the perpetual records and 19.An auditor selected an inventory item on the warehouse floor, test counted it, and traced the count to the final inventory compilation. The auditor most likely was testing the PCAOB assertion of 20.An auditor selected an invoice for a large inventory purchase and vouched the invoice to the receiving report. Which ASB transaction assertion is the auditor most likely testing? A. OccurrenceB. CompletenessC. Rights and obligationsD. Valuation21.An auditor selected a product maintained in the finished goods warehouse. The auditor counted the product and compared this amount with the amount in the finished goods perpetual inventory subsidiary account. Which ASB balance assertion is the auditor most likely testing?
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22.An auditor selected a product recorded in the finished goods perpetual inventory subsidiary account. The auditor went to the warehouse and counted the product and compared this amount with the amount in the finished goods perpetual inventory subsidiary account. Which ASB balance assertion is the auditor most likely testing? 23.Periodic or cycle counts of selected inventory items are made at various times during the year rather than during a single inventory count at year-end. Which of the following is necessary if the auditor plans to observe inventories at interim dates?
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  • Spring '12
  • janigrt
  • perpetual inventory records, Cycle count

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