Renaldo compared shipping reports to sales documents,checking to see that the sales invoice dates matched the shipping dates,and that quantities invoiced matched quantities shipped.On his working paper,he said that he vouched invoices.What else should his working paper include with respect to the audit procedure conducted?
A)details of tests conducted,with results
B)results of analytical review procedures on the aging of accounts receivable
C)employee numbers and wage rates of the employees he spoke to
D)a statement that the information will be held confidential

Question

Quizplus · Accepted Answer

Renaldo's working paper should include details of the tests conducted and their results. This is important to provide evidence of the audit procedures performed and the conclusions reached.

Answer: B 
 While analytical review procedures on the aging of accounts receivable may be relevant and useful in the overall audit, it is not specifically related to the audit procedure conducted by Renaldo in comparing shipping reports to sales documents.

Answer: C 
 Including employee numbers and wage rates of the employees Renaldo spoke to is not relevant or necessary for this specific audit procedure.

Answer: D 
 While maintaining confidentiality is important in an audit, it is not necessary to include a statement about it on the working paper for this specific audit procedure conducted by Renaldo.

Renaldo Compared Shipping Reports to Sales Documents,checking to See That