part 3 auditing

part 3 auditing

3rd Grade

40 Qs

quiz-placeholder

Similar activities

2 havo Woordenschat H3 en 4

2 havo Woordenschat H3 en 4

1st - 12th Grade

45 Qs

Umowy cywilnoprawne w turystyce

Umowy cywilnoprawne w turystyce

1st - 5th Grade

35 Qs

MOVIE - CARTOON

MOVIE - CARTOON

1st - 6th Grade

35 Qs

Encanto

Encanto

3rd Grade

42 Qs

Văn học trung đại lớp 9

Văn học trung đại lớp 9

1st - 12th Grade

40 Qs

APPETIZER S CU6  SET 1

APPETIZER S CU6 SET 1

1st - 5th Grade

37 Qs

HEALTH 2ND GRADING

HEALTH 2ND GRADING

1st - 12th Grade

40 Qs

LOS ADVERBIOS

LOS ADVERBIOS

3rd - 6th Grade

37 Qs

part 3 auditing

part 3 auditing

Assessment

Quiz

Other

3rd Grade

Practice Problem

Easy

Created by

Trisha Hipolito

Used 3+ times

FREE Resource

AI

Enhance your content in a minute

Add similar questions
Adjust reading levels
Convert to real-world scenario
Translate activity
More...

40 questions

Show all answers

1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

   The cashier of Milady Jewelries covered a shortage in the cash working fund with cash obtained at December 31 from a bank by cashing but not recording a check drawn on the company out of town bank. How would you as an auditor discover the manipulation?

  By counting the cash working fund at the close of business on December 31

By confirming all December 31 bank balances.

    By investigating items returned with the bank cut-off statements of the succeeding month.

  By preparing independent bank reconciliations as of December 31.

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

  Deposit in transit are collections that

     Are recorded in the cash receipts journal but are not shown as bank debits.

    Answer not given

      By investigating items returned with the bank cut-off statements of the succeeding month.

     Are presented as bank credits but not recorded in the cash receipts journal.

   Are presented as bank credits but not recorded in the cash receipts journal.

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which of the following internal control procedures will most likely prevent the concealment of a cash shortage resulting from improper write-off of a trade account receivable?

Write-offs must be supported by an aging schedule showing that only receivables overdue several months have been written off.

  Write-offs must be approved by a responsible officer after review of credit department recommendations and supporting evidence.   

     Write-offs must be approved by the cashier who is in a position to know if the receivables have, in fact, been collected.

Write-offs must be approved by the cashier who is in a position to know if the receivables have, in fact, been collected.

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

1.     Consider the following investments acquired during Year 2:

1)     Commercial paper dated July 10, Y2, purchased October 15, Y2 and matures January 10, Y3.

2)     Corporate bonds dated January 20, Y1, purchased November 20, Y2 and matures January 20, Y3.

3)     Treasury bills dated September 1, Y2, purchased September 10, Y2 and matures January 1, Y3.

4)     Time deposit acquired on October 31, Year 2 and matures on January 31, Year 3.

1, 2, and 3

1 and 4

     1, 2, and 4

   1 and 2

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

  On receiving the bank cutoff statement, the auditor should trace

Deposits in transit on the year-end bank reconciliation to deposits in the cash receipts journal.

     Checks dated subsequent to year-end to the outstanding checks listed on the year- end bank reconciliation.

       Checks dated prior to year-end to the outstanding checks listed on the year- end bank reconciliation.

Deposits listed on the cutoff bank statement to deposits in the cash receipts journal.

6.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

5.     As one of the year-end audit procedures, the auditor instructed the client’s personnel to prepare a standard bank confirmation request for a bank account that had been closed during the year. After the client’s treasurer had signed the request, it was mailed by the assistant treasurer. What is the major flaw in this audit procedure?

Sending the request was meaningless because the account was closed before year- end.

  The request was mailed by the assistant treasurer.

The CPA did not sign the confirmation request before it was mailed

The confirmation request was signed by the treasurer.

7.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

  Which of the following auditing procedures would the auditor not apply to a cut-off bank statement?

a.      Reconcile the bank account as of the end of the cutoff period.

a.      Compare dates, payees, and endorsements on returned checks with the cash disbursements record.

a.      Trace year end outstanding checks and deposits in transit to the cutoff bank statement.

a.      Determine that the year end deposit in transit was credited by the bank on the first working day of the following accounting period.

Access all questions and much more by creating a free account

Create resources

Host any resource

Get auto-graded reports

Google

Continue with Google

Email

Continue with Email

Classlink

Continue with Classlink

Clever

Continue with Clever

or continue with

Microsoft

Microsoft

Apple

Apple

Others

Others

Already have an account?