Auditing and Assurance Services 1st Edition by Iris Stuart

تمرين 28

In performing tests concerning the granting of stock options, an auditor should
a. Confirm the transaction with the Secretary of State in the state of incorporation.
b. Verify the existence of option holders in the entity's payroll records or stock ledgers.
c. Determine that sufficient treasury stock is available to cover any new stock issued.
d. Trace the authorization for the transaction to a vote of the board of directors.