Which of the Following Might an Auditor Do in Testing

question 45

Multiple Choice

Which of the following might an auditor do in testing for the existence of accounts payable?

• A)Review client's financial statement disclosure.
• B)Review long-term purchase commitments.
• C)Perform a cutoff test of purchases and cash disbursements.
• D)Perform analytical review of related expense accounts.

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Definitions:

Components

Fundamental parts or elements that make up a system or compound.

Arrangement

The way in which items or elements are organized or laid out.

Involuntary Urination

The unintentional release of urine, which can occur due to a lack of control over bladder functions, also known as urinary incontinence.

External Urethral Sphincter

A muscle that controls the flow of urine from the bladder through the urethra.