Auditors Usually Test for the Existence of Property, Plant and Equipment

question 14

Multiple Choice

Auditors usually test for the existence of property, plant and equipment by:

• A) physically sighting the assets on the fixed assets register in the first year the client is audited.
• B) vouching to supporting documentation.
• C) re-performing depreciation calculations.
• D) performing analytical review procedures.

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Definitions:

Marco Polo

An Italian merchant, explorer, and writer who traveled through Asia along the Silk Road to China, where he spent over two decades in the 13th century.

Yuan Dynasty

The dynasty established by Kublai Khan in China that ruled from 1271 to 1368, characterized by significant cultural contributions and the integration of Mongol and Chinese elements.

Zhu Yuanzhong

Also known as Hongwu Emperor, founder of the Ming Dynasty in China, ruling from 1368 to 1398, noted for his successful expelling of the Mongols and significant agricultural, military, and administrative reforms.

Ming Dynasty

A major Chinese dynasty that ruled from 1368 to 1644, known for its trade expansion to the outside world and cultural achievements such as porcelain, literature, and the building of the Great Wall.