You Are Part of the Audit Team That Is Auditing

question 71

Essay

You are part of the audit team that is auditing Hillsburg Hardware Co.and you have been assigned to the sales and collection business process.You are testing whether the cash received has been recorded in the cash receipts journal.(completeness objective /assertion).List two tests of controls and at least one test of transactions that you would do to satisfy yourself regarding the completeness assertion.

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Definitions:

Self-Awareness

The awareness of one’s own personality, emotions, motivations, and wishes.

Anonymity

The state of being unnamed or unacknowledged, often used to describe situations where individuals' identities are protected or not revealed.

Deindividuation Theory

A psychological theory suggesting individuals in groups may lose self-awareness and feel less responsible for their actions, often leading to norms being disregarded.

Irrationality

The quality of acting or deciding based on emotions, flawed reasoning, or nonsensical ideas, rather than logic or rational thought.