Auditing
Essay by xujialin • September 8, 2016 • Exam • 359 Words (2 Pages) • 1,008 Views
WEEK 10 Class Exercise
The following questions pertain to issues that could arise during the collection of audit evidence regarding Sales & Ac Receivable:
- Journal Entry Recorded:
Details | Debit | Credit |
Dr Ac Receivable Cr Sales | $5200 | $5200 |
Dr COGS Cr Inventory | $4000 | $4000 |
The Related sales invoice (No. 12345) generated by the client’s information system for testing as shown below:
INVOICE Date: June 27th 2015 Invoice # 12345 | [pic 1]It’s a GOODBUY! | ||||
GoodBuy.com 1, Web Street Melbourne 3000 | TO | Justin Unit 1/2 Goodwill Street Bayside 3159 03 98784554 Customer ID : AUS0099 Customer Order No : 789456 | SHIP TO | Justin Unit 1/2 Goodwill Street Bayside 3159 03 98784554] Customer ID: AUS0099 Shipping Reference: 789456 Fed Ex Tracking No: 8782134568794513 | |
SALES PERSON | SHIPPING METHOD | SHIPPING TERMS | DELIVERY DATE | PAYMENT TERMS | DUE DATE |
Alice | By Weight Fed Ex | FOB Destination | July 3rd 2015 | 30 Days | July 26 |
QTY | ITEM # | DESCRIPTION | UNIT PRICE | DISCOUNT | LINE TOTAL |
1 | AC 001 | Air Compressor | $2500 | $0 | $2500 |
1 | OP 007 | Oil Pump | $3000 | $300 | $2700 |
TOTAL DISCOUNT | $300 | $5200 | |||
SUBTOTAL | $5200 | ||||
SALES TAX | $520 | ||||
TOTAL | $5200 | ||||
[No Cash. Credit Card payments or bank transfer to Goodbuy.com Acc No 00501 123789] Thank you for your business! |
The following questions pertain to issues that could arise during the collection of audit evidence regarding Purchases/Expenses :
Journal Entry Recorded:
Details | Debit | Credit |
Dr Asset/Expense Cr Ac Payable | $5200 | $5200 |
- The following invoice was received by the client from their supplier
INVOICE(SUPPLIER) Date: June 27th 2015 Invoice # 12345 | [pic 2]It’s a GOODBUY! | ||||
GoodBuy.com 1, Web Street Melbourne 3000 | TO | Justin Unit 1/2 Goodwill Street Bayside 3159 03 98784554 Customer ID : AUS0099 Customer Order No : 789456 | SHIP TO | Justin Unit 1/2 Goodwill Street Bayside 3159 03 98784554] Customer ID: AUS0099 Shipping Reference: 789456 Fed Ex Tracking No: 8782134568794513 | |
SALES PERSON | SHIPPING METHOD | SHIPPING TERMS | DELIVERY DATE | PAYMENT TERMS | DUE DATE |
Alice | By Weight Fed Ex | FOB Destination | July 3rd 2015 | 30 Days | July 26 |
QTY | ITEM # | DESCRIPTION | UNIT PRICE | DISCOUNT | LINE TOTAL |
1 | AC 001 | Air Compressor | $2500 | $0 | $2500 |
1 | OP 007 | Oil Pump | $3000 | $300 | $2700 |
TOTAL DISCOUNT | $300 | $5200 | |||
SUBTOTAL | $5200 | ||||
SALES TAX | $520 | ||||
TOTAL | $5200 | ||||
[No Cash. Credit Card payments or bank transfer to Goodbuy.com Acc No 00501 123789] Thank you for your business! |
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