Fundamentals Of Financial Accounting
6th Edition
ISBN: 9781259864230
Author: PHILLIPS, Fred, Libby, Robert, Patricia A.
Publisher: Mcgraw-hill Education,
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Textbook Question
Chapter 4, Problem 3MC
When a concert promotions company collects cash for ticket sales two months in advance of the show date, which of the following accounts is affected?
- a. Accounts Payable
- b. Accounts Receivable
- c. Prepaid Expense
- d. Deferred Revenue
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1. You are tasked to perform cut-off procedures for expenses and its related payable. In testing the completeness/cut-off assertion, what document would you most likely inspect?
Group of answer choices
a. Accounts payable subsidiary ledger.
b. Vendor invoice register 15 days before and 15 days after report date.
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d. Cash disbursement journal 15 days before and 15 days after report date. 2. During the review of loan contracts and agreements, the auditor would most likely figure out the following, except:
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a. The existence of loans.
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received from sale made on account in the last month?
O a. Cash and Salary Expense
O b. Cash and Notes Payable
O c. Cash and Accounts Receivable
Od. Cash and Service Revenue
You are tasked to perform cut-off procedures for expenses and its related payable. In testing the completeness/cut-off assertion, what document would you most likely inspect?
Group of answer choices
A. Purchase journal 15 days before and 15 days after report date.
B. Accounts payable subsidiary ledger.
C. Cash disbursement journal 15 days before and 15 days after report date.
D. Vendor invoice register 15 days before and 15 days after report date.
Chapter 4 Solutions
Fundamentals Of Financial Accounting
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