All Related Questions of Purchase Requisition

Q: Superior Co. manufactures automobile parts for sale to the major U

Superior Co. manufactures automobile parts for sale to the major U.S. automakers. Superior's internal audit staff is to review the internal controls over machinery and equipment and make recommendatio...

Q: Anthony, CPA, prepared the flowchart (given below) which

Anthony, CPA, prepared the flowchart (given below) which portrays the raw materials purchasing function of one of Anthony's clients, Medium-Sized Manufacturing Company, from the preparation of initial...

Q: The following internal controls were tested in prior audits. Evaluate each

The following internal controls were tested in prior audits. Evaluate each internal control independently and determine which controls must be tested in the current year's audit of the December 31, 20...

Q: Match the materials control form in the left column with the person

Match the materials control form in the left column with the person responsible for its preparation in the right column. (A selection may be used more than once.) a. Purchase requisition 1. Product...

Q: Lancaster Company makes electrical parts for contractors and home improvement retail stores

Lancaster Company makes electrical parts for contractors and home improvement retail stores. After their annual audit, Lancaster’s auditors commented on the following items regarding internal controls...

Q: Table 2-1 lists some of the documents used in the

Table 2-1 lists some of the documents used in the revenue, expenditure, and human resources cycle. What kinds of input or output documents or forms would you find in the production (also referred to a...

Q: A furniture company ordered 84 tables from a supplier. The supplier

A furniture company ordered 84 tables from a supplier. The supplier accidentally sent only 48 tables, but the receiving department at the furniture company accepted the tables. The invoice was eventua...

Q: For each of the following, discuss which data-gathering method

For each of the following, discuss which data-gathering method(s) are most appropriate and why: a. Examining the adequacy of internal controls in the purchase requisition procedure b. Identifying th...

Q: Last year the Diamond Manufacturing Company purchased over $10 million worth

Last year the Diamond Manufacturing Company purchased over $10 million worth of office equipment under its “special ordering” system, with individual orders ranging from $5,000 to $30,000. Special ord...

Q: What is the relationship between a purchase requisition and a purchase order

What is the relationship between a purchase requisition and a purchase order?

Q: Motel $49.99 has purchased a large warehouse to store

Motel $49.99 has purchased a large warehouse to store all supplies used by housekeeping departments in the company’s expanding chain of motels. In the past, each motel bought supplies from local distr...

Q: Rider Co. makes automobile parts for sale to major automobile manufacturers

Rider Co. makes automobile parts for sale to major automobile manufacturers in the United States. The following information is available regarding internal controls over machinery and equipment: When...

Q: Bloomington Enterprises is a manufacturer of model trains that sell under the

Bloomington Enterprises is a manufacturer of model trains that sell under the name Bloomington Toy Trains in toy stores and hobby shops throughout the United States and Europe. The company employs 160...

Q: Ski Slope, Inc. is a manufacturer of equipment used for

Ski Slope, Inc. is a manufacturer of equipment used for snow skiing and snow boarding. The company’s products are sold under two brand names, one comprising its top‐of‐the‐line equipment and the other...

Q: Mount Pleasant Community College (MPCC) is a medium-sized

Mount Pleasant Community College (MPCC) is a medium-sized academic institution that employs about 200 full-time faculty and 250 staff personnel. There are 11,439 students enrolled at the college for t...

Q: In 2018, Kida Company purchased more than $10 million worth

In 2018, Kida Company purchased more than $10 million worth of office equipment under its “special” ordering system, with individual orders ranging from $5,000 to $30,000. “Special” orders entail low-...

Q: You have just been assigned as a member of the audit team

You have just been assigned as a member of the audit team of Bozarkana Company (a new client) and are considering accounts payable. Bozarkana Company uses a computerized voucher system for payables. A...

Q: a. The library at Big State University routes all purchase requests

a. The library at Big State University routes all purchase requests through its requisitions department. Faculty, staff, and students can suggest titles for books, periodicals, electronic media, and o...

Q: Please match each item on the left with the most appropriate item

Please match each item on the left with the most appropriate item on the right.

Q: 1. PLP Corporation maintains an electronic database fi le for all

1. PLP Corporation maintains an electronic database fi le for all its vendors and purchases. Which of the following amounts would you be least likely to find in the “vendor” table? a. Total amount owe...

Q: The documents discussed in this chapter are listed below on the right

The documents discussed in this chapter are listed below on the right. Various information items that might appear in them are listed on the left. For each information item listed on the left, indicat...

Q: Your firm is the external auditor of Bestwood Engineering Ltd., which

Your firm is the external auditor of Bestwood Engineering Ltd., which manufactures components for motor vehicles and sells them to motor vehicle manufacturers and wholesalers. It has sales of $25 milli...

Q: You are the auditor of Sofasellers Ltd., which buys furniture from

You are the auditor of Sofasellers Ltd., which buys furniture from manufacturers for sale to the public. You have been asked to audit certain aspects of the computerized purchasing and accounts payabl...

Q: Home Repair Corp. (HRC) operates a building maintenance and

Home Repair Corp. (HRC) operates a building maintenance and repair business. The business has three office employees—a sales manager, a materials/crew manager, and an accountant. HRC’s cash payments s...