Which of the following expense accounts would not normally be tested by listing all debits and examining any significant items?
A)Legal Expense
B)Miscellaneous Expense
C)Repairs and Maintenance
D)Payroll Expense.

Question

Quizplus · Accepted Answer

Payroll Expense is typically tested through other audit procedures such as examining payroll records, testing controls over payroll processing, and substantive testing of payroll transactions. Unlike the other categories, which might involve significant individual transactions that could be examined on a case-by-case basis, payroll expenses involve numerous transactions that are more efficiently tested in aggregate or through sampling.

Which of the Following Expense Accounts Would Not Normally Be