A trainee auditor has listed what she thought were some of the control objectives in the purchases cycle within an entity at the stage of placing a purchase order as:
1) To ensure that the item purchased is not already in stock.
2) To ensure that the stock count is accurate.
3) To ensure that the order is actually required.
4) To ensure that all orders are paid for.
Is she correct? Which of these are control objectives?
A) All of the above
B) 3 and 4 only
C) 1 only
D) 1 and 3 only

Question

Quizplus · Accepted Answer

Control objectives in the purchase order stage include ensuring that the item is not already in stock (1) and that the order is actually required (3).

A Trainee Auditor Has Listed What She Thought Were Some