276) Tracing shipping documents to prenumbered sales invoices provides evidence that
a. Shipments to customers were properly invoiced.
b. No duplicate shipments or billings occurred.
c. All goods ordered by customers were shipped.
d. All prenumbered sales invoices were accounted for.
277) An auditor tests an entity's policy of obtaining credit approval before shipping goods to customers in support of management's financial statement assertion of
b. Valuation or allocation.
c. Existence or occurrence.
d. Rights and obligations.
278) Proper authorization of write-offs of uncollectible accounts should be approved in which of the following departments?
a. Accounts receivable
c. Accounts payable
279) Which of the following controls most likely would be used to maintain accurate inventory records?
a. Perpetual inventory records are periodically compared with the current cost of individual inventory items.
b. A just-in-time inventory ordering system keeps inventory levels to a desired minimum.
c. Requisitions, receiving reports, and purchase orders are independently matched before payment is approved.
d. Periodic inventory counts are used to adjust the perpetual inventory records.
280) Which of the following is not a component of an entity's internal control?
a. Control risk
b. Control activities
d. Control environment