IT controls that the auditor might expect to find in the long-term and owner's equity process are

Question

Quizplus · Accepted Answer

Option B is correct as it ensures that increases in common stock and additional paid-in capital are supported by either cash or assets, which provides assurance on the completeness and accuracy of reported equity balances. Option C is also correct as it ensures that accrued interest entries are supported by relevant information, which provides assurance on the accuracy and completeness of interest expense. Options A, D, and E are not relevant or sufficient to provide assurance on the completeness and accuracy of reported equity balances.

IT Controls That the Auditor Might Expect to Find in the Long-Term