With Respect to a Small Company's System of Purchasing Supplies

question 15

Multiple Choice

With respect to a small company's system of purchasing supplies, an auditor's primary concern should be to obtain satisfaction that supplies ordered and paid for have been

• A) Requested and approved by authorized individuals who have no incompatible duties.
• B) Received, counted, and checked to quantities and amounts on purchase orders and invoices.
• C) Properly recorded as assets and systematically amortized over the estimated useful life of the supplies.
• D) Used in the course of business and solely for business purposes during the year under audit.

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Definitions:

Insulin Shock

A severe hypoglycemic reaction due to excessive insulin in the blood, causing symptoms like sweating, trembling, and confusion.

High-Carbohydrate Meal

A meal that is rich in carbohydrate content, providing energy through the breakdown into simple sugars.

Blood Glucose

The concentration of glucose present in the blood, important for metabolic energy and closely regulated in the body.

Insulin Level

refers to the amount of insulin in the bloodstream, which is crucial for regulating blood sugar levels.