The objective of the ordinary audit of financial statements is the expression of an opinion on:

a. the fairness of the financial statements.

b. the accuracy of the financial statements.
c. the accuracy of the annual report.
d. the balance sheet and income statement.

The independent auditor should acquire an understanding of the internal audit function as it relates to the independent aud
study and evaluation of internal control because the:
a. audit programs, working papers, and reports of internal auditors can often be used as a substitute for the work of the
independent auditor’s staff.
b. procedures performed by the internal audit staff may eliminate the independent auditor’s need for an extensive study a
evaluation of internal control.
c. work performed by internal auditors may be a factor in determining the nature, timing, and extent of the independent a
procedures.
d. understanding of the internal audit function is an important substantive test to be performed by the independent auditor

The process of transferring money from one bank account to another and improperly recording the transaction is referred
a. kiting.
b. lapping.
c. scamming.
d. embezzling

Which of the following best defines fraud in a financial statement auditing context?
a. Fraud is an unintentional misstatement of the financial statements.
b. Fraud is an intentional misstatement of the financial statements.
c. Fraud is either an intentional or unintentional misstatement of the financial statements, depending on materiality.
d. Fraud is either an intentional or unintentional misstatement of the financial statements, depending on consistency

The standard of due care to which the auditor is expected to adhere is referred to as the:
a. prudent person concept.
b. common law doctrine.
c. due care concept.
d. vigilant person concept.

If management insists on financial statement disclosures that the auditor finds unacceptable, the auditor
can:
Issue a qualified audit report

Which of the following auditor’s defenses usually means non-reliance on the financial statements by the user?
a. Lack of duty.
b. Non-negligent performance.
c. Lack of causal connections.
d. Contributory negligence.

The auditor uses a proof of cash to determine whether:

All recorded cash disbursements were paid by the bank. All amounts that were paid by the bank were recorded.
a. Yes Yes
b. No No
Under SAS No. 99, auditors are to presume that there is a significant risk of:
a. overstated assets.
b. understated liabilities.
c. improper revenue recognition.
d. overstated expenses.

7Tests of details of balances are specific procedures intended to:

a. test for monetary errors in the financial statements.
b. prove that the accounts with material balances are classified correctly.
c. prove that the trial balance is in balance.
d. identify the details of the internal control system.

6 Which of management’s concerns with respect to implementing internal controls is the auditor primarily concerned?
a. Efficiency of operations.
b. Reliability of financial reporting.
c. Effectiveness of operations.
d. Compliance with applicable laws and regulations.

1 According to the principle established by the Restatement of Torts case, foreseen users must be members of:
a. any potential user group.
b. a legally protected class.
c. a reasonably limited and identifiable user group.
d. a reasonably limited and established user group.

When the auditor suspects that fraud may be present, SAS No. 99 requires the auditor to:
a. terminate the engagement with sufficient notice given to the client.
b. issue an adverse opinion or a disclaimer of opinion.
c. obtain additional evidence to determine whether material fraud has occurred.
d. re-issue the engagement letter.

Which of the following is a factor that relates to incentives to misappropriate assets?

a. Significant accounting estimates involving subjective judgments.
b. Significant personal financial obligations.
c. Management’s practice of making overly aggressive forecasts.
d. High turnover of accounting, internal audit and information technology staff

To succeed in an action against the auditor, the client must be able to show that:
a. the auditor was fraudulent.
b. the auditor was grossly negligent.
c. there was a written contract.
d. there is a close causal connection between the auditor’s behavior and the damages suffered by the client.

If a bank does not respond to a bank confirmation request, an auditor may:

Perform alternative procedures Send a second request Ask the client to communicate w
bank to ask them to complete an
the confirmation
a. No Yes Yes
b. No No Yes
c. Yes No Yes
d. Yes Yes No
In comparing management fraud with employee fraud, the auditor’s risk of failing to discover the fraud is:
a. greater for management fraud because managers are inherently more deceptive than employees.
b. greater for management fraud because of management’s ability to override existing internal controls.
c. greater for employee fraud because of the higher crime rate among blue collar workers.
d. greater for employee fraud because of the larger number of employees in the organization.

Which of the following balance-related audit objectives typically is assessed as having high inherent risk for cash?
a. Existence.
b. Cutoff.
c. Detail tie-in.
d. Presentation and disclosure

As a consequence of his failure to adhere to generally accepted auditing standards in the course of his examination of the
Corp., Mr. H, CPA, did not detect the embezzlement of a material amount of funds by the company’s controller. As a mat
common law, to what extent would Harrison be liable to the Lamp Corp. for losses attributable to the theft?
a. He would have no liability, since the ordinary examination cannot be relied upon to detect thefts of assets by employee
b. He would have no liability because privity of contract is lacking.
c. He would be liable for losses attributable to his negligence.
d. He would be liable only if it could be proven that he was grossly negligent

Which of the following is a category of fraud?

Fraudulent financial reporting Misappropriation of assets
a. Yes Yes
b. No No
c. Yes No
d. No Yes

A third-party beneficiary is one which:

a. has failed to establish legal standing before the court.
b. does not have privity of contract and is unknown to the contracting parties.
c. does not have privity of contract, but is known to the contracting parties and intended to

Significant deficiencies and material weaknesses in internal control of a public company must be reported to which of the
following?
a. The Public Company Accounting Oversight Board.
b. Members of management who are responsible for the related area of the company.
c. Audit committee of the company’s board of directors.
d. The AICPA.

Internal controls normally include procedures designed to provide reasonable assurance that:
a. employees act with integrity when performing their assigned tasks.
b. transactions are executed in accordance with management’s authorization.
c. decision processes leading to management’s authorization of transactions are sound.
d. collusive activities would be detected by segregation of employee duties

Of the following statements about internal controls, which one is not valid?
a. No one person should be responsible for the custodial responsibility and the recording responsibility for an asset.
. b. Transactions must be properly authorized before such transactions are processed.
c. Because of the cost-benefit relationship, a client may apply controls on a test basis.
d. Control procedures reasonably ensure that collusion among employees cannot occur.

The most important controls for petty cash relate to:

The use of a separate bank account The use of an imprest fund
a. Yes Yes
b. No No
c. Yes No
d. No Yes

Cash is important to auditors primarily because of the potential for:

a. errors.
b. fraud.
c. liquidity.
d. expenditures

The auditor’s best defense when existing material misstatements in the financial statements are not uncovered in the audi
a. the audit was conducted in accordance with generally accepted accounting principles.
b. the financial statements are the client’s responsibility.
c. the client is guilty of contributory negligence.
d. the client is guilty of fraudulent misrepresentation

An individual who is not party to the contract between a CPA and the client, but who is known by both and is intended to
certain benefits from the contract is known as:
a. a third party.
b. a common law inheritor.
c. a tort.
d. a third-party beneficiary

Which of the following statements describes circumstances that underlie employee incentives to misappropriate assets?
a. Dissatisfied employees may steal from a sense of entitlement.
b. Weak internal controls encourage employees to take chances.
c. If management cheats customers and gets away with it, then employees believe they can do the same to the company.
d. Employees have a vested interest in making the company’s financial statements erroneous.

SAS No. 99 requires auditors to document which of the following matters related to the auditor’s consideration of mater
misstatements due to fraud?
a. Reasons supporting a conclusion that there is not a significant risk of material improper expense recognition.
b. Procedures performed to obtain information necessary to identify and assess the risks of material fraud.
c. Results of the internal auditor’s procedures performed to address the risk of management override of controls.
d. Discussions with management regarding separation of duties

7 Internal controls can never be regarded as completely effective. Even if company personnel could design an ideal system
effectiveness depends on the:
a. adequacy of the computer system.
b. proper implementation by management.
c. ability of the internal audit staff to maintain it.
d. competency and dependability of the people using it.
Which of the following best describes the inherent limitations that should be recognized by an auditor when considering
potential effectiveness of internal control?
a. Procedures that depend on segregation of duties can be circumvented by collusion.
b. Competent and honest client personnel provide an environment conducive to accounting control and provide absolute a
that effective control will be achieved.
c. Procedures designed to assure the execution and recording of transactions in accordance with proper authorizations are
against irregularities perpetrated by management.
d. The benefits expected to be derived from effective internal accounting control usually do not exceed the costs of such c

In testing for cutoff, the objective is to determine:

a. whether all of the current period’s transactions are recorded.
b. whether transactions are recorded in the correct accounting period.
c. the proper cutoff between capitalizing and expensing expenditures.
d. the proper cutoff between disclosing items in footnotes or in account balances

With whom should the auditor communicate whenever he or she determines that senior management fraud may be presen
the matter might be considered inconsequential?
a. PCAOB
b. Audit committee
c. An appropriate level of management that is at least one level above those involved
d. The internal auditors

Fraud awareness training should be:

a. broad and all-encompassing
b. extensive and include details for all functional areas
c. specifically related to the employee’s job responsibility
d. focused on employees understanding the importance of ethics

The most important balance-related audit objectives in the audit of cash include all but which of the following?
a. Existence
b. Accuracy
c. Completeness
d. Occurrence

Internal controls can never be considered as absolutely effective because:

a. their effectiveness is limited by the competency and dependability of employees.
b. not all organizations have internal audit departments.
c. controls are designed to prevent and detect only material misstatements.
d. internal controls prevent separation of duties.

When the auditor believes the year-end bank reconciliation may be intentionally misstated, it is appropriate to perform e
tests of the year-end bank reconciliation. Assuming the client has a October 31 year-end, these extended tests would not i
a. comparing all September 30 reconciling items with canceled checks and other documents in the October bank statemen
b. comparing all canceled checks and deposit slips in the October bank statement with the October cash disbursements an
receipts records.
c. carrying out all proper procedures subsequent to the end of the year with the use of the bank cutoff statement.
d. determining that all outstanding checks had cleared by the date of the bank cutoff statement.

An auditor should recognize that the application of auditing procedures may produce evidence indicating the possibility o
or fraud and therefore should:
a. plan and perform the engagement with an attitude of professional skepticism.
b. not rely on internal controls that are designed to prevent or detect errors or fraud.
c. design audit tests to detect unrecorded transactions.
d. extend the work to audit most recorded transactions and records of an entity

Management is responsible for:

Identifying and measuring fraud risks Taking steps to mitigate identified risks
a. Yes Yes
b. No No
c. Yes No
d. No Yes

Two key concepts that underlie management’s design and implementation of internal control are:
a. costs and materiality.
b. absolute assurance and costs.
c. inherent limitations and reasonable assurance.
d. collusion and materiality

A CPA is subject to criminal liability if the CPA:

a. refuses to turn over requested audit documentation to a client.
b. performs an audit in a negligent manner.
c. willfully omits a material fact from a set of financial statements.
d. willfully breaches a contract with a client

It is important for the CPA to consider the competence of the clients’ personnel because their competence bears directly a
importantly upon the:
a. cost/benefit relationship of the system of internal control.
b. achievement of the objectives of internal control.
c. comparison of recorded accountability with assets.
d. timing of the tests to be performed

The auditor has considerable responsibility for notifying users as to whether or not the statements are properly stated. Thi
imposes upon the auditor a duty to:
a. provide reasonable assurance that material misstatements will be detected.
b. be a guarantor of the fairness in the statements.
c. be equally responsible with management for the preparation of the financial statements.
d. be an insurer of the fairness in the statements

Which of the following errors would be least likely to be discovered during the tests of the bank reconciliation?
a. Payment was made to an employee for more hours than he worked.
b. Cash received by the client subsequent to the balance sheet date was recorded as cash receipts in the current year.
c. Payments on notes payable were debited directly to the bank balance by the bank were not entered in the client’s record
d. Deposits were recorded in the cash receipts records near the end of the year, deposited in the bank, and were included i
bank reconciliation as a deposit in transit.

If the auditor believes that the financial statements are not fairly stated or is unable to reach an
conclusion because of insufficient evidence, the auditor:
a. should withdraw from the engagement.
b. should request an increase in audit fees so that more resources can be used to conduct the audit.
c. has the responsibility of notifying financial statement users through the auditor’s report.
d. should notify regulators of the circumstances

A broad interpretation of the rights of third-party beneficiaries holds that users that the auditor should have been able to f
being likely users of financial statements have the same rights as those with privity of contract. This is known as the conc
a. foreseen users.
b. foreseeable users.
c. expected users.
d. four-party contracts

Which of the following statements is correct with respect to the auditor’s responsibilities relative to the detection of indir
illegal acts?
a. The auditor has no responsibility for searching for indirect-effect illegal acts.
b. The auditor has the same responsibility for searching for indirect-effect illegal acts as any other potential misstatement
occur.
c. Auditors have responsibility for searching for any illegal act, whether direct-effect or indirect-effect.
d. Discovery of indirect-effect illegal acts is usually easier than discovery of fraud

As part of designing and performing procedures to address management override of controls, auditors must perform whic
following procedures?
Examine all journal entries above the level of materiality Review accounting estimates for biases
a. Yes Yes
b. No No
c. Yes No
d. No Yes

Audit evidence concerning proper segregation of duties normally is best obtained by:
a. direct personal observation of the employee who applies control procedures.
b. making inquiries of co-workers about the employee who applies control procedures.
c. preparation of a flowchart of duties performed and available personnel.
d. inspection of third-party documents containing the initials of who applied control procedures

Under common law, a foreseen user would be treated the same as:
A primary beneficiary A known third party
a Yes Yes
.
b No No
.
c Yes No
.
d No Yes
.

Which of the following would normally not be discovered as part of the audit of the bank reconciliation?
a. Failure to bill a customer.
b. Failure to include a deposit in transit on the bank reconciliation.
c. Duplicate payment of a vendor’s invoice.
d. Payment to an employee for more hours than she worked.

The auditor’s best defense when material misstatements are not uncovered is to have conducted the
audit:
a. in accordance with auditing standards.
b. as effectively as reasonably possible.
c. in a timely manner.
d. only after an adequate investigation of the management team

To obtain an understanding of an entity’s control environment, an auditor should concentrate on the substance of manage
policies and procedures rather than their form because:
a. management may establish appropriate policies and procedures but not act on them.
b. the board of directors may not be aware of management’s attitude toward the control environment.
c. the auditor may believe that the policies and procedures are inappropriate for that particular entity.
d. the policies and procedures may be so weak that no reliance is contemplated by the auditor.

The Public Company Accounting Oversight Board states that reasonable assurance allows a:
a. small likelihood of ineffective internal controls.
b. remote likelihood that material misstatements will not be prevented or detected by internal control.
c. likelihood that material misstatements will not be prevented or detected by internal control.
d. high likelihood that material misstatements will not be prevented or detected by internal control.

Listing all bank transfers made a few days before and after the balance sheet date and tracing each to the accounting reco
proper recording is a useful approach to test for:
a. kiting.
b. lapping.
c. income smoothing.
d. channel stuffing

When planning the audit, if the auditor has no reason to believe that illegal acts exist, the auditor should:
a. include audit procedures which have a strong probability of detecting illegal acts.
b. still include some audit procedures designed specifically to uncover illegalities.
c. ignore the issue.
d. make inquiries of management regarding their policies for detecting and preventing illegal acts and regarding their kno
of violations, and then rely on normal audit procedures to detect errors, irregularities, and illegalities

Internal controls are not designed to provide reasonable assurance that:

a. all frauds will be eliminated.
b. transactions are executed in accordance with management’s authorization.
c. access to assets is permitted only in accordance with management’s authorization.
d. company personnel comply with applicable rules and regulations.

Auditors may identify conditions during fieldwork that change or support a judgment about the initial assessment of fraud
Which of the following is not a condition which should alert an auditor that the initial assessment should be changed?
a. The auditor’s lack of independence
b. Discrepancies in the accounting records
c. Unusual relationships between the auditor and management
d. Missing or conflicting evidence

The major conclusion of the 1931 Ultramares case was that:

a. ordinary negligence is insufficient for liability to third parties.
b. ordinary negligence is sufficient for liability to third-party beneficiaries.
c. fraud or gross negligence is sufficient for liability to third parties.
d. auditors have no liabilities to third parties
A proof of cash represents:
a. a test of controls and substantive test of transactions.
b. a substantive test of transactions.
c. a substantive test of transactions and test of details of balances.
d. a test of details of balances

If management insists on financial statement disclosures that the auditor finds unacceptable, the auditor can do all but wh
the following?
a. Issue an adverse audit report.
b. Issue a disclaimer of opinion.
c. Withdraw from the engagement.
d. Issue a qualified audit report

Sarbanes-Oxley requires management to issue an internal control report that includes two specific
items. Which of the following is one of these two requirements?
a. A statement that management is responsible for establishing and maintaining an adequate internal
control structure and procedures for financial reporting.
b. A statement that management and the board of directors are jointly responsible for establishing and
maintaining an adequate internal control structure and procedures for financial reporting.
c. A statement that management, the board of directors, and the external auditors are jointly responsible
for establishing and maintaining an adequate internal control structure and procedures for financial
reporting.
d. A statement that the external auditors are solely responsible

Significant deficiencies are matters that come to an auditor’s attention and should be communicated to an entity’s audit co
because they represent:
a. material frauds perpetrated by high-level management.
b. internal control deficiencies that could adversely affect a company’s ability to initiate, record, process, or report extern
financial statements reliably.
c. flagrant violations of the entity’s documented conflict-of-interest policies.
d. intentional attempts by client personnel to limit the scope of the auditor’s field work

Which of the following statements is correct?

a. Auditors must obtain bank confirmations on every audit.
b. Auditors obtain bank confirmations at their discretion.
c. Auditing standards do not address specific requirements regarding bank confirmations.
d. Auditing standards do not require bank confirmations except when there is an unusually large number of inactive bank
accounts.

When the auditor has reason to believe an illegal act has occurred, the auditor should:
a. inquire of management only at one level below those likely to be involved with the illegality.
b. begin communication with the FASB in accordance with PCAOB regulations.
c. consider accumulating additional evidence to determine if there is actually an illegal act.
d. withdraw from the engagement

When management is evaluating the design of internal control, management evaluates whether the
control can do which of the following?
. Detect material misstatements Correct material misstatements
To succeed in an action against the auditor, the client must be able to show that:
a. the auditor was fraudulent.
b. the auditor was grossly negligent.
c. there was a written contract.
d. there is a close causal connection between the auditor’s behavior and the damages suffered by the client

The auditor’s evaluation of the likelihood of material employee fraud is normally done initially as a part of:
a. tests of controls.
b. tests of transactions.
c. understanding the entity’s internal control.
d. the assessment of whether to accept the audit engagement

Which of the following statements is true?

Gross negligence may Fraud requires the intent to deceive All fraud should be detected during audit
constitute constructive fraud
a. Yes Yes No
b. No Yes Yes
c. Yes No Yes
d. No No No

Which party has the primary responsibility to oversee an organization’s financial reporting and internal control processes
a. The board of directors
b. The audit committee
c. Management of the company
d. The financial statement auditors

Which of the following auditor’s defenses usually means non-reliance on the financial statements by the user?
a. Lack of duty.
b. Non-negligent performance.
c. Lack of causal connections.
d. Contributory negligence
The test details of balances procedure that requires the auditor to trace the book balance on the reconciliation to the gene
is an attempt to satisfy the audit objective of:
a. detail tie-in.
b. existence.
c. completeness.
d. accuracy.

To issue a report on internal control over financial reporting for a public company, an auditor must:
a. evaluate management’s assessment process.
b. independently assess the design and operating effectiveness of internal control.
c. evaluate management’s assessment process and independently assess the design and operating effectiveness of internal
d. test controls over significant account balances

After fraud risks are identified and documented, the auditor should evaluate factors that ______ fraud risk before develop
appropriate response to the risk of fraud.
a. enhance
b. reduce
c. increase
d. increase or decrease

When the auditor knows that an illegal act has occurred, the auditor must:
a. report it to the proper governmental authorities.
b. consider the effects on the financial statements, including the adequacy of disclosure.
c. withdraw from the engagement.
d. issue an adverse opinion

Privity of contract exists between:

a. auditor and the federal government.
b. auditor and third parties.
c. auditor and client.
d. auditor and client attorney

When considering internal control, an auditor should be aware of the concept of reasonable assurance, which recognizes
a. segregation of incompatible functions is necessary to ascertain that internal control is effective.
b. employment of competent personnel provides assurance that the objectives of internal control will be achieved.
c. establishment and maintenance of internal control is an important responsibility of the management and not of the audi
d. costs of internal control should not exceed the benefits expected to be derived from internal control

After considering a client’s internal controls, an auditor has concluded that it is well designed and is functioning as intend
Under these circumstances the auditor would most likely:
a. perform tests of controls to the extent outlined in the audit program.
b. determine the control procedures that should prevent or detect errors and irregularities.
c. not increase the extent of predetermined substantive tests.
d. determine whether transactions are recorded to permit preparation of financial statements in conformity with generally
accounting principles

With respect to the detection of illegal acts, auditing standards state that the auditor provides:
a. no assurance that they will be detected.
b. the same reasonable assurance provided for other items.
c. assurance that they will be detected, if material.
d. assurance that they will be detected, if highly material

To determine if significant internal control deficiencies are material weaknesses, they must be evaluated on their:
. Likelihood Significance
a. Yes Yes
b. No No
c. Yes No
d. No Yes

Which of the following is the auditor least likely to do when aware of an illegal act?
a. Discuss the matter with the client’s legal counsel.
b. Obtain evidence about the potential effect of the illegal act on the financial statements.
c. Contact the local law enforcement officials regarding potential criminal wrongdoing.
d. Consider the impact of the illegal act on the relationship with the company’s management.

When planning an audit, the auditor’s assessed level of control risk is:
a. determined by using actuarial tables.
b. calculated by using the audit risk model.
c. an economic issue, trading off the costs of testing controls against the cost of testing balances.
d. calculated by using the formulas provided in the AICPA’s auditing standards

The test of details of balances procedure that requires the auditor to foot the outstanding check list and deposits in transit
attempt to satisfy which audit objective?
a. Cutoff.
b. Presentation and disclosure.
c. Detail tie-in.
d. Completeness

Which of the following statements best describes the auditor’s responsibility regarding the detection of fraud?
a. The auditor is responsible for the failure to detect fraud only when such failure clearly results from nonperformance of
procedures specifically described in the engagement letter.
b. The auditor must extend auditing procedures to actively search for evidence of fraud in all situations.
c. The auditor must extend auditing procedures to actively search for evidence of fraud where the examination indicates t
may exist.
d. The auditor is responsible for the failure to detect fraud only when an unqualified opinion is issued

A major consideration in the audit of the general cash balance is the possibility of fraud. The auditor must extend his or h
procedures in the audit of year-end cash to determine the possibility of a material fraud when there are:
a. large cash balances at the end of the year.
b. large cash receipts and disbursements during the year.
c. no imprest accounts used for payroll.
d. inadequacy of internal controls

Which of the following statements is most correct regarding errors and fraud?
a. An error is unintentional, whereas fraud is intentional.
b. Frauds occur more often than errors in financial statements.
c. Errors are always fraud and frauds are always errors.
d. Auditors have more responsibility for finding fraud than errors

PCAOB Standard 2 requires auditors to evaluate the effectiveness of the audit committee’s oversight of the company’s:
. External financial reporting Efficiency of operations Internal control over financial reporting
a. Yes No Yes
b. No No Yes
c. Yes Yes No
d. No Yes No

Which of the following parties is responsible for implementing internal controls to minimize the likelihood of fraud?
a. External auditors
b. Audit committee members
c. Management
d. Committee of Sponsoring Organizations

While performing services for their clients, professionals have a duty to provide a level of care which is:
a. free from judgment errors.
b. superior.
c. greater than average.
d. reasonable
The essence of the attest function is to:
a. assure the consistent application of correct accounting procedures.
b. determine whether the client’s financial statements are fairly stated.
c. examine individual transactions so that the auditor may certify as to their validity.
d. detect collusion and fraud

External financial statement auditors must obtain evidence regarding what attributes of an internal audit (IA) department
external auditors intend to rely on IA’s work?
a. Integrity
b. Objectivity
c. Competence
d. All of the above

_____ deal with ongoing or periodic assessment of the quality of internal control by management.
a. Quality monitoring activities
b. Monitoring activities
c. Oversight activities
d. Management activities

The most effective way to prevent and deter fraud is to:

a. implement programs and controls that are based on core values embraced by the company.
b. hire highly ethical employees.
c. communicate expectations to all employees on an annual basis.
d. terminate employees who are suspected of committing fraud.

A Corp. maintains a large internal audit staff that reports directly to the chief financial officer. Audit reports prepared by t
internal auditors indicate that the system is functioning as it should and that the accounting records are reliable. An indep
auditor will probably:
a. eliminate tests of controls.
b. increase the depth of the study and evaluation of administrative controls.
c. avoid duplicating the work performed by the internal audit staff.
d. place limited reliance on the work performed by the internal audit staff

The audit procedure which requires the auditor to record the last check number used on the last day of the year and subse
trace to the outstanding checks and the cash disbursements records is performed to satisfy the audit objective of:
a. detail tie-in.
b. existence.
c. completeness.
d. cutoff.