Which of the Following Procedures Would an Auditor Most Likely

question 4

Multiple Choice

Which of the following procedures would an auditor most likely perform in searching for unrecorded liabilities?

• A)Trace a sample of accounts payable entries recorded just before year-end to the unmatched receiving report file.
• B)Compare a sample of purchase orders issued just after year-end with the year-end accounts payable trial balance.
• C)Vouch a sample of cash disbursements recorded just after year-end to receiving reports and vendor invoices.
• D)Scan the cash disbursements entries recorded just before year-end for indications of unusual transactions.

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Definitions:

Bipolar Disorder

A psychiatric disorder marked by severe fluctuations in mood, ranging from euphoric states (mania or hypomania) to depressive episodes.

Interpersonal Perspective

A viewpoint focusing on the importance of social interactions and relationships in understanding behavior and mental processes.

Excessive Reassurance Seeking

A maladaptive coping strategy where individuals repeatedly seek assurance from others beyond a normal or necessary level.

Approval

The act of officially accepting or agreeing to something, often used in contexts of testing or regulatory consents.