Which of the Following Would the Auditor Use to Test

question 12

Multiple Choice

Which of the following would the auditor use to test the existence of investments?

• A)Footing the schedule of recorded investments.
• B)Confirming or examining recorded investments.
• C)Reviewing a schedule of investments sold during the year.
• D)Recomputing interest and/or gains and losses.

Identify and understand the roles and responsibilities within organizational structures relevant to accounting and finance.

Understand the concepts of joint cost allocation and its impact on product costing.

Apply relative market value and physical quantities methods for joint cost allocation.

Understand the role and purpose of responsibility accounting in organizations.

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Definitions:

Narcotic

traditionally refers to substances that induce sleep or stupor, particularly opioids, which are also used for pain relief.

Heroin

An opioid drug derived from morphine, highly addictive and used illicitly for its euphoric effects.

Cocaine

A powerful stimulant drug derived from the leaves of the coca plant, which can cause euphoria and addiction.

LSD

Lysergic acid diethylamide, a powerful hallucinogenic drug known for its psychological effects such as altered thoughts and perceptions.