The Key Substantive Tests of Balances for the Long-Term Debt

question 29

Multiple Choice

The key substantive tests of balances for the long-term debt and owner's equity process include

• A)obtain a listing of the transactions of notes payable,long-term debt,and lines of credit
• B)obtain a listing of ending balance in the capital stock accounts
• C)obtain a schedule showing the ending balance in the retained earnings account and the accumulated other comprehensive income
• D)obtain a listing of the beginning balance of notes payable,long-term debt,and lines of credit
• E)obtain a schedule showing the transactions in the retained earnings account and the accumulated other comprehensive income
• F)both A and B
• G)both B and C
• H)both D and E

---

Definitions:

Manual System

A system or process that is operated or managed by human hands, without the use of automated or electronic devices.

Transmittal Document

A document that accompanies a shipment or delivery of goods, detailing the contents and instructions.

Formal Report

A structured document that presents information and analysis to assist in decision-making, often including sections such as an executive summary, methodology, findings, and conclusions.

Additional Information

Additional information refers to supplementary details or data provided to enhance understanding or clarify a subject.