The Audit Objective Requiring That Existing Notes Payable Are Included

question 30

Multiple Choice

The audit objective requiring that existing notes payable are included in the notes payable schedule (completeness) is satisfied by performing the following audit procedure.

• A)Recalculate accrued interest.
• B)Examine duplicate copies of notes for details.
• C)Review the notes payable schedule to determine whether any are related parties.
• D)Obtain confirmations from creditors who have held notes from the client in the past and are not currently included in the notes payable schedule.

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Definitions:

Unethical Decision

A choice or judgment that goes against moral principles or professional standards, often resulting in harm or unfairness.

Society

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Pertaining to the law or the system of rules that a particular country or community recognizes as regulating the actions of its members.

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Pertaining to actions or decisions that are universally considered morally right or acceptable, with no doubts regarding ethical integrity.