The auditors' program for the examination of long-term debt should include steps that require the:

Question

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The examination of any bond trust indenture would provide the auditors with important information regarding the terms and conditions of the long-term debt, including the maturity date, interest rate, and any restrictive covenants. Verification of the existence of bondholders and investigation of credits to the bond interest income accounts would be more relevant for the examination of bond receivables rather than long-term debt. Inspection of the accounts payable subsidiary ledger is also not relevant to the examination of long-term debt.

The Auditors' Program for the Examination of Long-Term Debt Should