Audit II

Question 1

Control Activities Related to Spending

Answer 1

PRAISE

(1) Physical Controls
(2) Recording
(3) Authorization
(4) Independent Checks
(5) Segregation of Duties
(6) Evaluate Performance

Question 2

Spending Cycle Duties to Segregate

Answer 2

(1) Authorization of purchases and payment
(2) Recording of purchase orders and posting to the purchase journal
(3) Custody of inventory and checks for payment