To Determine If Notes Payable Are Included in the Proper

question 12

Multiple Choice

To determine if notes payable are included in the proper period,the auditor should

• A)trace the cash received from the issuance to the accounting records.
• B)examine duplicate copies of notes to determine whether the notes were dated on or before the balance sheet date.
• C)examine duplicate copies of notes for principal and interest rates.
• D)trace the individual notes payable to the master file.

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Definitions:

Face Card

A term used in playing cards to refer to Jacks, Queens, and Kings.

Fair Die

A die that has an equal likelihood of landing on any one of its faces when thrown.

Events

In probability and statistics, an event is a set of outcomes of an experiment or situation to which a probability is assigned.

Disjoint

Sets that have no elements in common; non-overlapping.