Professional Documents
Culture Documents
Arens12e 22 Audit of The CapitalAcquisition Andrepayment Cycle
Arens12e 22 Audit of The CapitalAcquisition Andrepayment Cycle
Acquisition and
Repayment Cycle
Chapter 22
Notes payable
Contracts payable
Mortgages payable
Bonds payable
Interest expense
Accrued interest
Appropriations of retained earnings
Treasury stock
Dividends declared
Issue of Issue of
stock stock
Ending Ending
balance balance
Ending Ending
balance balance
1. Occurrence:
Recorded dividends occurred.
2. Completeness:
Existing dividends are recorded.
3. Accuracy:
Dividends are accurately recorded.
4. Occurrence:
Dividends are paid to stockholders
that exist.
5. Completeness:
Dividends payable are recorded.
6. Accuracy:
Dividends payable are accurately recorded.
Ending Audited by
balance TDB
TOC + STOT + AP + TDB
= Sufficient appropriate evidence
Audited by
TDB
TOC + STOT + AP + TDB
= Sufficient appropriate evidence