Settlement of Audit Objections

Bills of contractor

Minutes of meeting of board of directors

Certificates of engineer and architect

Loan agreement

management’s integrity

auditor’s experience and professional judgment

auditor’s qualification

control risk

issue a standard unqualified audit report

issue a qualified report

issue an unqualified report with ’emphasis of matter’ paragraph

disclaim opinion

Reducing the cost of acquisition

Selecting supplies

Authorizing the acquisition of goods

Assuring the quality of goods

client’s unedited account balance

client’s unedited account balance adjusted for trends in the industry

Prior year audited balance

Prior year audited balance adjusted for trends in the industry

Rarely

Periodically

Never

Daily

cash balance

investments

bills receivables

debtors

directors of the company

annual general meeting

election at the annual general meeting

debenture holders

establish controls and executes them

establish controls and executes them

perpetuate errors and frauds and conceals them

record the transaction in journal and ledger

Examining cutoff points

Matching entries in the sales book against renumbered sales invoices and goods outward notes

Counting the number of invoices and matching the number with entries on sales book

Both (a) and (b)