The auditor decided to test accounts payable by sending open-ended (blank) confirmations to selected vendors. The auditor's best approach in selecting the vendor accounts to confirm is to
A) select vendor accounts with large balances.
B) select vendor accounts at random in order to apply a statistical sampling procedure.
C) select vendor accounts based on the number of purchases from vendors during the year.
D) select vendor accounts that are past due.
Correct Answer:
Verified
Q13: Cash disbursements are authorized by
A)purchase orders.
B)invoices.
C)receiving reports.
D)a
Q14: Purchase cutoff procedures should be designed to
Q15: Which of the following client control activities
Q16: Which of the following situations indicates a
Q17: When confirming accounts payable, emphasis should be
Q19: What evidence is appropriate to determine whether
Q20: The usual source for journal entries posted
Q22: A liability for a long-term purchase contract
Q23: Failure to record a liability generally results
Q46: To provide assurance that each voucher is
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents