Substantive procedures to examine the completeness assertion for accounts payable include
A) Selecting a sample of vouchers and agreeing them to authorized purchase orders.
B) Selecting a sample of vouchers and tracing them to the purchases journal.
C) Comparing dates on vouchers to dates in the purchases journal.
D) Recomputing the mathematical accuracy of a sample of vendor invoices.

Question

Quizplus · Accepted Answer

Selecting a sample of vouchers and tracing them to the purchases journal would help ensure that all invoices have been recorded and included in the accounts payable balance. This procedure helps examine the completeness assertion. Selecting a sample of vouchers and agreeing them to authorized purchase orders (A) only ensures that the purchases were authorized, not necessarily that all purchases have been recorded. Comparing dates on vouchers to dates in the purchases journal (C) may help identify timing differences but does not necessarily ensure completeness. Recomputing the mathematical accuracy of a sample of vendor invoices (D) helps ensure accuracy, not completeness.

Substantive Procedures to Examine the Completeness Assertion for Accounts Payable