LSU ACCT 3222 Chp 12 & 13 - Final Exam ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
Orig exam with correct answers ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
What assertion is most important in auditing payables and
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
liabilities? - correct answers✔✔completeness ||\\||\\ ||\\||\\ ||\\||\\
What assertion is tested when performing initial procedures for
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
A/P balances? - correct answers✔✔valuation ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
4 initial procedures for A/P - correct answers✔✔1. agree BB to
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
PY ||\\||\\
2. obtain A/P TB ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
3. scan for unusual transactions
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4. agree sub ledger to GL
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In auditing which accounts are substantive procedures optional?
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
- correct answers✔✔payables/ liabilities
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
CASH (not meaningful bc of high fluctuation) ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
, 3 test of details of transactions of transactions for A/P - correct
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
answers✔✔1. Vouch ||\\||\\
2. Perform cutoff tests||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
3. Perform search for unrecorded liabilities
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
Which of the test of details of transactions for A/P is more ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
powerful in testing completeness? - correct answers✔✔Perform ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
search for unrecorded liabilities
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
During cutoff testing for A/P, which transactions regarding ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
shipment should the client record if they are the purchaser? ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
What if they are the seller? - correct answers✔✔Purchaser: if
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
FOB shipping point, anything shipped before or on YE
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
if FOB destination, client should record anything received before
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
or on YE
||\\||\\ ||\\||\\ ||\\||\\
Seller: if FOB shipping point, ownership transfers if shipped ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
before/on YE ||\\||\\ ||\\||\\
if FOB destination, client still owns anything still in transit on YE
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
Orig exam with correct answers ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
What assertion is most important in auditing payables and
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
liabilities? - correct answers✔✔completeness ||\\||\\ ||\\||\\ ||\\||\\
What assertion is tested when performing initial procedures for
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
A/P balances? - correct answers✔✔valuation ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
4 initial procedures for A/P - correct answers✔✔1. agree BB to
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
PY ||\\||\\
2. obtain A/P TB ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
3. scan for unusual transactions
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
4. agree sub ledger to GL
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
In auditing which accounts are substantive procedures optional?
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
- correct answers✔✔payables/ liabilities
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
CASH (not meaningful bc of high fluctuation) ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
, 3 test of details of transactions of transactions for A/P - correct
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
answers✔✔1. Vouch ||\\||\\
2. Perform cutoff tests||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
3. Perform search for unrecorded liabilities
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
Which of the test of details of transactions for A/P is more ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
powerful in testing completeness? - correct answers✔✔Perform ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
search for unrecorded liabilities
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
During cutoff testing for A/P, which transactions regarding ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
shipment should the client record if they are the purchaser? ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
What if they are the seller? - correct answers✔✔Purchaser: if
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
FOB shipping point, anything shipped before or on YE
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
if FOB destination, client should record anything received before
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
or on YE
||\\||\\ ||\\||\\ ||\\||\\
Seller: if FOB shipping point, ownership transfers if shipped ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
before/on YE ||\\||\\ ||\\||\\
if FOB destination, client still owns anything still in transit on YE
||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\ ||\\||\\
