Auditors examine supporting documentation for cash disbursements subsequent to the balance sheet date in order to determine whether the cash disbursement was for a current period liability
Describe at least two audit procedures the auditor would perform to provide evidence that the cash disbursement was made for a current period liability.
What will be an ideal response?
1. Trace vendor invoice to accounts payable subsidiary ledger and to the trial balance.
2. Trace receiving report to vendor invoice and to accounts payable subsidiary ledger.
3. Examine vendor invoices for inclusion in the proper period.
4. Examine cash disbursements for several weeks after the company's year-end.
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The process of transferring data from the ledger to the journal is called posting.
a. true b. false
At what point should a team member be reassigned or replaced?
A) If they continually voice their opinion. B) If they continually fail to agree with the majority. C) All of the above. D) None of the above.