审计学（英文）_19 Completing The Test In The Acquisition and (2/2)

FIGURE 19-2 Manufacturing equipment and related accounts Manufacturing Accumulated equipment preciation Beginning Beginning balance balance (1)Acquisitions Disposals DisposalsCurrent period depreciation Ending balance Ending balance Gain or loss Depreciation on disposals expense (1) Acquisitions of manufacturing equipment arise from the acquisition and payment cycle See Figure 18-1(P. 583) Auditing, &/E @2000Prentice HalL,Inc

Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. FIGURE 19 - 2 Manufacturing Equipment and Related Accounts

FIGURE 19-3 Prepaid Insurance and related accounts Prepaid insurance Insurance expense Beginning balance Current period Insurance expense (1) Acquisitions Insurance premiums Ending balance 1)Acquisitions of insurance premiums arise from the acquisition and payment cycle This can be observed by examining Figure 18-1(P. 583) Arens, Loebbecke; Auditing, &/E @2000Prentice HalL,Inc

Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. FIGURE 19 -3 Prepaid Insurance and Related Accounts

TABLE 19-3 Analytical Procedures for Manufacturing Equipment Analytical Procedure Possible misstatement Compare depreciation expense divided by gross Misstatement in depreciation expense and manufacturing equipment cost with previous years accumulated depreciation Compare accumulated depreciation divided by gross Misstatement in accumulated depreciation manufacturing equipment cost with previous years Compare monthly or annual repairs and Expensing amounts that should be maintenance, supplies expense, small tools expense, and similar accounts with previous years Compare gross manufacturing cost divided by some idle equipment or equipment that has measure of production with previous years. been disposed of, but not written off Arens, Loebbecke; Auditing, &/E @2000Prentice HalL,Inc

Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc

The following audit procedures should be performed only when there is a special eason for doing so s Insurance Policies in the Prepaid Insurance Schedule Exist and Existing Policies Are Listed (Existence and completeness) s The Client has Rights to All Insurance Policies in the prepaid Insurance schedule rights) Prepaid Amounts on the Schedule Are accurate and the Total Is Correctly Added and agrees With the General Ledger (Accuracy and Detail Tie-in) Arens, Loebbecke; Auditing, &/E @2000Prentice HalL,Inc Continued

Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. The following audit procedures should be performed only when there is a special reason for doing so.  Insurance Policies in the Prepaid Insurance Schedule Exist and Existing Policies Are Listed (Existence and completeness)  The Client Has Rights to All Insurance Policies in the Prepaid Insurance Schedule (Rights)  Prepaid Amounts on the Schedule Are Accurate and the Total Is Correctly Added and Agrees With the General Ledger (Accuracy and Detail Tie-in) Continued

The Insurance Expenses Related to Prepaid Insurance Is Properly Classified(Classification) Insurance Transactions are recorded in the Proper Period cutoff) Prepaid Insurance Is properly presented and Disclosed(Presentation and Disclosure Arens, Loebbecke; Auditing, &/E @2000Prentice HalL,Inc

Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc.  The Insurance Expenses Related to Prepaid Insurance Is Properly Classified (Classification)  Insurance Transactions Are Recorded in the Proper Period (Cutoff)  Prepaid Insurance Is Properly Presented and Disclosed (Presentation and Disclosure)

AUDIT OF ACCRUED LIABILITIES 令 Accrued income taxes Accrued interest Accrued pension costs Accrued professional fees 令 Accrued rent Accrued warranty costs Arens, Loebbecke; Auditing, &/E @2000Prentice HalL,Inc

Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. AUDIT OF ACCRUED LIABILITIES  Accrued income taxes  Accrued interest  Accrued pension costs  Accrued professional fees  Accrued rent  Accrued warranty costs

FIGURE 19-5 Accrued Property Taxes and related accounts Accrued property ta Property tax expense Beginning balance (1) Payments Current period (property taxes property tax expense Ending balance 1)Payments of property taxes arise from the acquisition and payment cycle This can be observed by examining Figure 18-1(p. 583) Arens, Loebbecke; Auditing, &/E @2000Prentice HalL,Inc

Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. FIGURE 19 - 5 Accrued Property Taxes and Related Accounts

Audit of Approach to Auditing income / Income and、"Hme Expense Accounts Analvtical Procedures Tests of controls Tests of and substantive Details of Tests of Account Balances Transactions Arens, Loebbecke; Auditing, &/E @2000Prentice HalL,Inc

Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. Audit of Income and Expense Accounts Approach to Auditing Income and Expense Accounts Analytical Procedures Tests of controls and Substantive Tests of Transactions Tests of Details of Account Balances Audit Report

ESSENTAL TERMS Accrued liabilities allocation Expense account analysis Fixed asset master file Insurance register Arens, Loebbecke; Auditing, &/E @2000Prentice HalL,Inc

Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. • Accrued liabilities • allocation • Expense account analysis • Fixed asset master file • Insurance register

BALANCE-RELATED AUDIT OBJECTIVES UTILITIES EXPENSE Recorded utilities expense transactions as listed exist Existing utilities services received are recorded Utilities expense transactions as listed are correctly stated Utilities expense transactions as listed are properly classified Arens, Loebbecke; Auditing, &/E @2000Prentice HalL,Inc

Arens, Loebbecke; Auditing, 8/E ©2000 Prentice Hall, Inc. BALANCE-RELATED AUDIT OBJECTIVES UTILITIES EXPENSE Recorded utilities expense transactions as listed exist Existing utilities services received are recorded Utilities expense transactions as listed are correctly stated Utilities expense transactions as listed are properly classified