Mind Tap - 11 - 15 Combine Post Test .pdf

Post submission feedback to prevent fraud involving

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Post Submission Feedback To prevent fraud involving outright theft of long-term assets, organizations should have controls in place. Control examples include performing physical counts, assigning responsibility for long-lived assets to specific individuals to ensure accountability, and monitoring for theft of items that fall below a capitalization threshold (i.e., that are expensed immediately). Solution Correct Response d Question: jo6ar11h/jo6ar11h_ch12.06m jo6ar11h_ch12.06m 1. 1.00 2. 1.00 3. 1.00 4. 1.00 5. 1.00 6. 1.00 7. 1.00 8. 1.00 9. 1.00 10. 1.00 Hide Feedback Check My Work
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Right "Check My Work" Clicked: 2 Times a. A formal budgeting process. b. A policy requiring that deprecation categories and lives be periodically assessed. c. A policy requiring the reconciliation of the physical asset count with the property ledger. d. Written policies requiring authorization for the acquisition of long­lived assets. Which of the following controls would be most useful in providing reasonable assurance about the valuation of tangible long-lived assets? Correct Check My Work Feedback To provide reasonable assurance that the existence and valuation assertions for tangible long-lived assets are materially correct, controls should be in place. Post Submission Feedback Typical control activities affecting multiple assertions for long-lived assets include written policies for acquisition and disposals of long- lived assets, including required approvals. Solution Correct Response b Question: jo6ar11h/jo6ar11h_ch12.07m jo6ar11h_ch12.07m 1. 1.00 2. 1.00 3. 1.00 4. 1.00 5. 1.00 6. 1.00 7. 1.00 8. 1.00 9. 1.00 10. 1.00 Hide Feedback Check My Work
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Right "Check My Work" Clicked: 3 Times a. Inspect long­lived tangible assets located at the client location and trace those assets to the property ledger. b. Review the tangible long­lived asset property ledger to see if depreciation was recorded on each tangible long­lived asset. c. The auditor would perform all of the above procedures to respond to the heightened risk of material misstatement due to poor client controls over recording retirements. d. Select long­lived tangible assets recorded in the property ledger and locate them for inspection. Assume that a client's controls over recording retirements of long-lived tangible assets are not well designed. Which of the following procedures would the auditor plan to perform as a way of responding to the heightened risk of material misstatement? Correct Check My Work Feedback In performing substantive procedures, the auditor wants reasonable assurance. Post Submission Feedback To provide reasonable assurance that the existence and valuation assertions for tangible long-lived assets are materially correct, one of the controls that should be in place isa systematic process to identify assets that are not currently in use. Solution Correct Response d Question: jo6ar11h/jo6ar11h_ch12.12m jo6ar11h_ch12.12m 1. 1.00 2. 1.00 3. 1.00 4. 1.00 5. 1.00 6. 1.00 7. 1.00 8. 1.00 9. 1.00 10. 1.00 Hide Feedback Check My Work
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Right "Check My Work" Clicked: 1 Time a. Valuing assets of the acquired organization at their FMV at the time of acquisition.
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  • Fall '10
  • PHILLIPS
  • Balance Sheet, Generally Accepted Accounting Principles, Financial audit

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