Evidence comes in various types and has different degrees of reliability. Below are some pairs of various types of evidence: A bank confirmation versus observation of the segregation of duties between cash receipts and recording payment in the accounts receivable subsidiary ledger.An auditor’s recalculation of depreciation versus examination of raw material requisitions.A bank statement included in the client’s records versus the client’s shipping documents. Required: For each pair, indicate which type of evidence is more reliable. Justify your choices

The auditors are professional who possesses accounting, auditing, and taxation expertise. The…

Answered: Evidence comes in various types and has…

Auditing: A Risk Based-Approach to Conducting a Quality Audit

10th Edition

ISBN:9781305080577

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter10: Auditing Cash And Marketable Securities

Section: Chapter Questions

Problem 33MCQ

See similar textbooks

Related questions

Question

Evidence comes in various types and has different degrees of reliability. Below are some pairs of various types of evidence:

A bank confirmation versus observation of the segregation of duties between cash receipts and recording payment in the accounts receivable subsidiary ledger.
An auditor’s recalculation of depreciation versus examination of raw material requisitions.
A bank statement included in the client’s records versus the client’s shipping documents.

Required:

For each pair, indicate which type of evidence is more reliable. Justify your choices

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions