Consider the Following Procedures for the Verification of Accounts Payable

question 35

Multiple Choice

Consider the following procedures for the verification of accounts payable:
-Goods in transit shipped FOB-shipping point were not recorded as purchases in the current period.
_____

• A)Verify the accuracy of schedules and agreement with accounts payable balances.
• B)Apply analytical procedures.
• C)Vouch recorded payables.
• D)Confirm accounts payablE.
• E)Perform purchases cutoff test.
• F)Perform cash disbursements cutoff test.
• G)Examine subsequent payments.
• H)Search for unrecorded accounts payablE.
• I)Compare statement presentation with GAAP.

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Definitions:

Guideline

A rule or piece of advice that suggests how something should be done or what actions are most likely to achieve a specific goal.

Policy

A deliberate system of principles to guide decisions and achieve rational outcomes.

Activity

Any action or task undertaken by individuals or groups, often aimed at achieving a specific goal or outcome.

Centralization

Refers to the concentration of decision-making authority at the top levels of an organizational hierarchy.