ACC 562 Course Great Wisdom / tutorialrank.com ACC 562 Course Great Wisdom / tutorialrank.com | Page 16

whether they agree with the indicated balance, are known as (Points:
4)
direct confirmations.
indirect confirmations.
positive confirmations.
negative confirmations.
58. Which of the following is an example of the type of analytics that
an auditor would use for inventory? (Points: 4)
Number of day's sales in receivables compared to industry
averages.
Inventory turnov er for the previous five years.
Number of obsolete units this period compared to last.
Salaries of marketing personnel as a percent of total inventory.
59. Which one of the following accounts would an auditor most likely
test by performing analytical procedures? (Points: 4)
Sales commissions expense.
Legal expenses.
Repairs and maintenance expense.
Travel expense.
60. Operational audits of cash management seek to identify areas in
which cash management may be improved to contribute to the overall
profitability and effectiveness of the organization. The internal auditor
would use which of the following procedures on an operational audit
of cash? (Points: 4)