Audit Materiality is a quantitative value used to verify whether an account balance or transaction is worth performing testing procedures in an audit context. There is no specific formula for arriving at the Materiality numbers, and they also depend on who uses the financial … [Read more...] about Audit Materiality (with Examples)
Audit Expenses: Meaning, Audit Assertions, Risks & Substantive Procedures
Are you wondering how to perform the audit of expenses? The topic "Audit expenses" lists audit procedures for testing the expenses. Expenses can be operating or non-operating in nature. Operating expenses help in the effective and efficient operations of any business. … [Read more...] about Audit Expenses: Meaning, Audit Assertions, Risks & Substantive Procedures
Goods lost by fire Journal Entry
Are you wondering how to record a Goods Lost by Fire journal entry? Goods Lost by Fire are similar to any other Loss to the business; the only difference here is that the Loss is in the form of the goods. Therefore, the goods that are purchased are lost due to … [Read more...] about Goods lost by fire Journal Entry
Cheque Dishonoured Journal Entry
What does a Cheque Dishonoured Journal entry mean? That means a reversal of the following: Let's learn journal entries for each of the scenarios. Cheque Dishonoured Journal Entry Scenario I: The entity pays its vendor through a Cheque. The Journal Entry (JE) … [Read more...] about Cheque Dishonoured Journal Entry
Bank Charges Journal Entry
Bank Charges Journal Entry does not have any unusual accounting treatment. It is similar to any other expenditure journal entry. Bank Charges are expenses to the account holder and income to the Bank. What’s the Bank Charges Journal Entry? In the Books … [Read more...] about Bank Charges Journal Entry