Which of the Following Are Substantive Tests of Payables Balances

question 5

Multiple Choice

Which of the following are substantive tests of payables balances that are always performed?

• A) performing a search for unrecorded liabilities
• B) examining the client's bank reconciliations
• C) testing the cut-off by inspecting the payments ledger and supporting documents to determine that transactions are recorded in the correct period
• D) all of the above.

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Definitions:

Waterborne Pollutants

Contaminants that are carried into streams, rivers, lakes, and oceans, typically from runoff, affecting water quality and ecosystem health.

Limestone Production

The process of extracting and processing limestone to use in building materials, agriculture, and industry.

Swordfish

A large, predatory fish known for its long, flat bill, often sought after for sport fishing and as a delicacy in cuisine.

Deep-Sea

Refers to the part of the ocean and its ecosystem that is beyond the continental shelves, typically deeper than about 200 meters.