substance

 substance Dissertation

BLG & Co., CPAs

306 3rd Flr. MSA Second St .,

Ayala-Alabang, Muntinlupa City

Philippines

SUBSTANTIVE TESTS – PURCHASE/ACQUISITION ORDERS

ASSERTIONS

GOAL

PROCEDURES

My spouse and i. Existence Or perhaps Occurrence

2. Rights and Obligations

To determine that registered purchases happen to be for items that were obtained. To determine that purchases are definitely the entity's purchases and debts. For a sample of purchase transactions documented in the acquisitions journal, search for vouchers to authorized po & receiving report. For the sample of purchase vouchers, test posting to the acquisitions journal & Accounts Payable subsidiary ledger for the correct amounts 3. Completeness

To ascertain that acquisitions that happened are noted

Trace a sample of vouchers to the purchases journal.

Compare the dates over a sample of vouchers with all the dates they are recorded inside the purchases log. IV. Valuation or Portion

To determine that purchases which can be recorded intended for the proper sums. Vouch picked purchase transactions recorded inside the purchases diary to the coupon packets, therefore ensuring that they were obligations in the entity. Recompute the numerical accuracy of your sample of purchase vouchers. Verify classification of fees for a test of buy transactions. Confirm classification of charges for the sample of purchase ventures. V. Display and Disclosure

To determine which the receivables are properly offered and labeled in the "balance sheet". Evaluate financial statement display and disclosure of payables. Test a sample of vouchers to ensure that the nature of the deal is consistent with the normal course of business.

Made by: LOWIE BEJOReviewed by: QUEENIE LEBIOS

Older Auditor Taxation Manager

Given the green light by: GIRLEY BANEZ

Engagement Partner