Question 1
One of the auditor's primary concerns in verifying the transfer of inventory from one location to another is that
◦ recorded transfers exist.
◦ all actual transfers are recorded.
◦ the quantity, date, and description of all recorded transfers are accurate.
◦ All of these.
Question 2
The audit of cost accounting begins with the internal transfer of assets from raw materials to work-in-process to
◦ manufacturing overhead.
◦ finished goods inventory.
◦ the perpetual inventory master files.
◦ retail sales.