Examine the cash receipts journal in the accounting system and compare the amounts received to the corresponding amounts invoiced in the revenue accounting system and to the bank statement evidencing the deposit. This is an example of which of the following?

Question

Quizplus · Accepted Answer

Examining the cash receipts journal and comparing the amounts to the corresponding amounts invoiced and to the bank statement evidencing the deposit is an audit procedure, as it involves specific steps taken by the auditor to gather evidence and assess the accuracy and completeness of financial information. Audit objectives are the overall goals of the audit, audit assertions are specific claims made by management about the financial statements, and audit programs are the overall plans and procedures developed by the auditor to achieve the audit objectives.

Examine the Cash Receipts Journal in the Accounting System and Compare