Audit

CHAPTER 10

Finance and Investment Cycle

LEARNING OBJECTIVES

| | |Multiple Choice | |

| |Review Checkpoints | |Exercises, Problems, and |

| | | |Simulations |

| | | |53, 59(*), 60(*) |

|1. Describe the finance and investment cycle, including |1, 2, 3, 4 |23, 24, 26, 31 | |

|typical source documents and controls. | | | |

| | | | |

|2. Give examples of tests of controls over debt and owners’ |5, 6, 7, 8 |22, 32, 42 |47 |

|equity transactions and investment transactions. | | | |

| | |25, 27, 28, 29, 30, 33, 34, |48(*), 49, 50(*), 51, |

|3. Describe substantive procedures for finance and investment|9, 10, 11, 12, 13, 14,|35, 37, 38, 39, 40, 41, 43, |52(*), 53(*), 54, 55, 56, |

|accounts. |15, 16, 17 |44, 45, 46 |57 |

| | | | |

|4. Describe common errors and frauds in the...