Question

Testing the information on the aged trial balance for detail tie-in is a necessary audit procedure, which would normally include:

Test-footing the total column and the columns depicting the aging
Comparing the total of the aged trial balance with the general ledger accounts receivable account
A. Yes yes
B. No No
C. Yes No
D. No Yes

Answer 1

Testing the information on the aged trial balance ensures accuracy by performing certain audit procedures.

Step-by-step explanation:

Testing the information on the aged trial balance for detail tie-in is an important audit procedure to ensure the accuracy of accounts receivable. This procedure involves:

1. Test-footing the total column and the columns depicting the aging, which means verifying the mathematical accuracy of the calculations.
2. Comparing the total of the aged trial balance with the general ledger accounts receivable account, which helps in verifying that the balances match and there are no discrepancies.

Therefore, the correct answer is option A: Yes yes.