Controls over the period ending reporting process include:
A)procedures to enter estimated transaction totals into the general ledger
B)procedures used to record recurring and nonrecurring adjustments to the annual and quarterly financial statements
C)procedures related to the selection and processing of accounting policies
D)procedures used to initiate,authorize,record,and process journal entries in the job cost ledger
E)procedures for preparing annual and quarterly financial statements and related disclosures
F)both A and B
G)both B and C
H)Both B and E
I)both A and E

Question

Quizplus · Accepted Answer

The controls over the period ending reporting process include procedures used to record recurring and nonrecurring adjustments to the annual and quarterly financial statements (B) as well as procedures for preparing annual and quarterly financial statements and related disclosures (E). These controls ensure that the financial statements are accurate and complete, and comply with regulatory requirements. Controls related to the selection and processing of accounting policies (C) are important, but are not specifically related to the period ending reporting process. Similarly, procedures used to initiate, authorize, record, and process journal entries in the job cost ledger (D) are important controls, but are not specific to the period ending reporting process. Choice A is incorrect because entering estimated transaction totals into the general ledger is not a control over the period ending reporting process - it is a function of regular accounting operations.

Controls Over the Period Ending Reporting Process Include