The Audit Procedure Which Requires the Auditor to Record the Last

question 43

Multiple Choice

The audit procedure which requires the auditor to record the last cheque number used on the last day of the year and subsequently trace to the outstanding cheques and the cash payments journal is performed to satisfy which audit objective?

• A) cutoff
• B) detail tie-in
• C) existence
• D) completeness

---

Definitions:

S Corporation

A special designation for a corporation that elects to be taxed as a pass-through entity, avoiding double taxation on the corporate income.

Franchisee

The seller of goods or services under a trade name or trademark in a franchise.

Shareholders

Individuals or entities that own shares in a corporation, giving them ownership interests and usually voting rights in the company.

Limited Liability Partnership Law

Legal provisions governing a partnership in which some or all partners have limited liabilities, protecting personal assets from the debts and liabilities of the business.