If There Were Unusual or Unexpected Relationships,the Planned Audit Procedures

question 119

True/False

If there were unusual or unexpected relationships,the planned audit procedures (tests of controls,substantive procedures)would be adjusted to address the potential material misstatements.

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Definitions:

Ledger

A comprehensive collection of a company's financial accounts.

Petty Cash Fund

A small amount of cash kept on hand by a business for making immediate payments for miscellaneous small expenses.

Journal Entries

The basic means of recording financial transactions in the accounting records, consisting of debits and credits to various accounts.

Vouchers

Documents that serve as evidence of authority to make a payment and usually support transactions before they are processed.