Which one of the following procedures is most appropriate for testing proper authorization for major capital projects?
A)examination of proper recording of the equipment.
B)examination of board of directors minutes.
C)examination of the cash budget.
D)examination of useful lives.

Question

Quizplus · Accepted Answer

The examination of board of directors minutes is most appropriate for testing proper authorization for major capital projects as they show the approval of the project and the authorization of funds for it. The other options are not directly related to authorization for capital projects.

Which One of the Following Procedures Is Most Appropriate for Testing