When Reading the Corporate Minutes,the Auditor Extracted the Approved Annual

question 68

Multiple Choice

When reading the corporate minutes,the auditor extracted the approved annual salary for the President,the Chief Executive Officer,and other senior executives.What audit step would the auditor likely conduct with this information?

• A)trace the payroll amount to each individual officer's payroll record
• B)check that the payroll has been recorded into the correct bank account
• C)verify that payroll cheques have two signatures for all large amounts
• D)ensure that all overtime is approved and adequately documented

Comprehend logistics functions, including put-away and its significance in inventory management.

Understand the role of transportation management within the broader scope of distribution activities and supply chain management.

Recognize the role of enterprise resource planning (ERP) systems beyond transportation efficiency, including their implications for logistics and supply chain management.

Comprehend the overall objective of supply chain management and its impact on the functionality and performance of related companies.

---

Definitions:

Futures Contract

An agreement to buy or sell a particular commodity or financial instrument at a predetermined price at a specified time in the future.

Underlying Asset

An asset (such as a stock, bond, commodity, or currency) upon which a derivative instrument, such as an option, is based.

Interest Rate Futures

Financial futures contracts that obligate the buyer to purchase an asset (like Treasury bills) with a fixed interest rate at a future date.

Federal Funds

Short-term funds transferred between financial institutions, typically overnight, at an interest rate set by the Federal Reserve in the United States.