Selecting a Sample of Notes Payable Transactions and Vouching Payments

question 89

Multiple Choice

Selecting a sample of notes payable transactions and vouching payments to canceled checks is a test of the ASB balance assertion of:

• A)accuracy.
• B)completeness.
• C)existence.
• D)presentation.

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Definitions:

Embezzlement

A wrongful conversion of another’s funds or property by one who is lawfully in possession of those funds or that property.

Government Grant

Financial assistance given by the government to individuals, organizations, or companies for specific projects or purposes, not requiring repayment.

Partnership

An official business arrangement where several individuals jointly manage the business and divide the profits among themselves.

Articles of Organization

Official papers submitted to state authorities to formally establish a limited liability company (LLC).