Procedures that may be performed prior to the end of the year are 1 Update

Procedures that may be performed prior to the end of

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Procedures that may be performed prior to the end of the year are: 1. Update fixed asset schedules. 2. Examine new loan agreements and other legal records. 3. Vouch certain transactions. 4. Analyze changes in the client's accounting systems. 5. Review minutes of board of directors' meetings. 6. If the client has effective internal control, the following procedures may be performed with minor review and updating at year-end: (a) Observation of physical inventories; (b) Confirmation of accounts receivable balances; (c) Confirmation and reconciliation of accounts payable balances. Multiple Choice Questions From CPA Examinations 13-22 a. (2) b. (2) c. (1) d. (4) 13-23 a. (2) b. (3) c. (1) d. (3) Discussion Questions and Problems 13-24 a. b. 1. TD of B 2. TD of B 3. AP 4. T of C 5. ST of T 6. AP 7. TD of B 8. T of C 9. TD of B 10. T of C 11. T of C Recalculation Documentation Analytical procedures Documentation Documentation Analytical procedures Documentation Inquiry and observation Confirmation Documentation Inquiry
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13-25 a. b. c. d. e. f. 1. Acquisition and Payment Recalculation Substantive S T of T Posting and summarization N/A 2. Acquisition and Payment Documentation Test of control or Substantive S T of T Occurrence N/A 3. Acquisition and Payment Documentation Substantive T D of B N/A Cutoff 4. Sales and Collection Inquiry Substantive T D of B N/A Realizable value 5. Inventory and Warehousing Analytical procedure Substantive A P N/A Realizable value 6. Capital Acquisition and Repayment Confirmation Substantive T D of B N/A Existence Accuracy 7. Acquisition and Payment Recalculation Substantive T D of B N/A Detail tie-in 13-9
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