Presentation is loading. Please wait.

Presentation is loading. Please wait.

Chapter 9 Production Cycle Accounting 4081Chapter 9.

Published byAnnabella Lane Modified over 8 years ago

Similar presentations

Presentation on theme: "Chapter 9 Production Cycle Accounting 4081Chapter 9."— Presentation transcript:

1 Chapter 9 Production Cycle Accounting 4081Chapter 9

2 Accounting 408Chapter 92 1. Internal Control Production cycle separate functions: authorization, issuing, production, stores, record keeping documents and records: production reports, transfer documents, accounting cost distribution records, inventory records

3 Accounting 408Chapter 93 1. Internal Control Inventory risks important account dual effects subjective and complex accounting

4 Accounting 408Chapter 94 2. Substantive Tests Inventory Inventory observation (GAAPro) (next slide) Test pricing goods in transit, consigned goods, returned goods Test inventory listing accuracy Confirmation Vouching transactions Cutoff tests - sales and purchases Analytical procedures

5 Accounting 408Chapter 95 2. Substantive Tests Considerations in planning physical inventory auditor’s responsibility substantive test or test of controls? date stop production or not total count or sample cycle counts obsolete and defective goods counting process ensure accuracy of measuring methods and units shipments between locations outside inventory-taking firms consider using specialists auditors not present for count use experienced auditors

6 Accounting 408Chapter 96 2.Substantive Tests (continued) Inventory Existence and Occurrence observation, confirmation, cutoff tests Rights and Obligations vouching, confirmation Completeness analytical procedures, tracing, cut-off tests, confirmation, test listing accuracy

7 Accounting 408Chapter 97 2.Substantive Tests (continued) Inventory Valuation vouching transactions, test pricing, inventory list accuracy, recompute inventory method calculations, recompute LCM Presentation and Disclosure compare statement presentation to GAAP related party transactions, pledged inventory for loan, inventory method

8 Accounting 408Chapter 98 3. Frauds Inventory fictitious inventory frauds McKesson & Robbins inventory count frauds MiniScribe, Phar-Mor often part of sales frauds

9 Chapter 19 Review Questions for Discussion Chapter 9 9.4 9.5 9.9 9.11 9.12 9.14 ACCT-4080 9.15 9.16

Download ppt "Chapter 9 Production Cycle Accounting 4081Chapter 9."

Similar presentations

Modern Auditing: Assurance Services and the Integrity of Financial Reporting, 8th Edition William C. Boynton California Polytechnic State University at.

Modern Auditing: Assurance Services and the Integrity of Financial Reporting, 8th Edition William C. Boynton California Polytechnic State University at.
Modern Auditing: Assurance Services and the Integrity of Financial Reporting, 8th Edition William C. Boynton California Polytechnic State University at.

Modern Auditing: Assurance Services and the Integrity of Financial Reporting, 8th Edition William C. Boynton California Polytechnic State University at.
Audit of Acquisition Cycle and Inventory

Audit of Acquisition Cycle and Inventory
The Special Significance of Audit of Inventories

The Special Significance of Audit of Inventories
Slide 12- 1 © The McGraw-Hill Companies, Inc., 2006 Inventories and Cost of Goods Sold.

Slide © The McGraw-Hill Companies, Inc., 2006 Inventories and Cost of Goods Sold.
Inventory Chapter 12 Juan M. Garcia Merced Cont 4017.

Inventory Chapter 12 Juan M. Garcia Merced Cont 4017.
18 - 1 Copyright  2003 Pearson Education Canada Inc. CHAPTER 18 Audit of the Inventory and Warehousing Cycle.

Copyright  2003 Pearson Education Canada Inc. CHAPTER 18 Audit of the Inventory and Warehousing Cycle.
RECEIVABLES Chapter 11 Juan M. Garcia Merced Cont 4017.

RECEIVABLES Chapter 11 Juan M. Garcia Merced Cont 4017.
Modern Auditing: Assurance Services and the Integrity of Financial Reporting, 8 th Edition Modern Auditing: Assurance Services and the Integrity of Financial.

Modern Auditing: Assurance Services and the Integrity of Financial Reporting, 8 th Edition Modern Auditing: Assurance Services and the Integrity of Financial.
Chapter 6 Audit of Cash Accounting 4081Chapter 6.

Chapter 6 Audit of Cash Accounting 4081Chapter 6.
Learning Objectives LO4 Explain the importance of the completeness assertion for auditing the accounts payable liabilities, and the procedures used to.

Learning Objectives LO4 Explain the importance of the completeness assertion for auditing the accounts payable liabilities, and the procedures used to.
CHAPTER 12 Substantive Audit Testing: Expenditure Cycle

CHAPTER 12 Substantive Audit Testing: Expenditure Cycle
Chapters 8 Acquisition and Expenditure Cycle Accounting 4081Chapters 8.

Chapters 8 Acquisition and Expenditure Cycle Accounting 4081Chapters 8.
Prepared by: Angela Davis CA, CFE, MSc Booth University College

Prepared by: Angela Davis CA, CFE, MSc Booth University College
ACQUISITION AND EXPENDITURE CYCLE ELEMENTS OF THE ACQUISITION AND EXPENDITURE CYCLE BALANCES –ACCOUNTS PAYABLE –NOTES PAYABLE –PREPAID ASSETS –INVENTORY.

ACQUISITION AND EXPENDITURE CYCLE ELEMENTS OF THE ACQUISITION AND EXPENDITURE CYCLE BALANCES –ACCOUNTS PAYABLE –NOTES PAYABLE –PREPAID ASSETS –INVENTORY.
Chapter 9 Production Cycle

Chapter 9 Production Cycle
©2012 Prentice Hall Business Publishing, Auditing 14/e, Arens/Elder/Beasley 5 - 5 Audit of the Acquisition and Payment Cycle: Tests of Controls, Substantive.

©2012 Prentice Hall Business Publishing, Auditing 14/e, Arens/Elder/Beasley Audit of the Acquisition and Payment Cycle: Tests of Controls, Substantive.
Cash and Financial Investments. McGraw-Hill/Irwin © 2004 The McGraw-Hill Companies, Inc., All Rights Reserved. 10-2 Internal Control Over --Cash Receipts.

Cash and Financial Investments. McGraw-Hill/Irwin © 2004 The McGraw-Hill Companies, Inc., All Rights Reserved Internal Control Over --Cash Receipts.
Electronic Presentations in Microsoft ® PowerPoint ® Prepared by Brad MacDonald SIAST © 2003 McGraw-Hill Ryerson Limited.

Electronic Presentations in Microsoft ® PowerPoint ® Prepared by Brad MacDonald SIAST © 2003 McGraw-Hill Ryerson Limited.
Investment, Debt, & Equity By David N. Ricchiute

Investment, Debt, & Equity By David N. Ricchiute

Similar presentations

Ads by Google