Auditing Chapter 21

Front 1

Cost Accounting controls

Back 1

controls over physical inventory and the related costs from the point at which the manufactured product is completed and transferred to storage.

Front 2

Cost Accounting records

Back 2

the accounting records concerned with the manufacture and processing of the goods and storing finished goods

Front 3

Inventory and Warehousing Cycle

Back 3

the transaction cycle that involves the physical flow of goods through the organization, as well as related costs

Front 4

Inventory compilation tests

Back 4

audit procedures used to verify whether physical counts of inventory are correctly summarized, inventory quantities and prices are correctly extended, and extended inventory is correctly footed.

Front 5

Inventory price tests

Back 5

audit procedures used to verify the costs used to value physical inventory

Front 6

Job Cost System

Back 6

system of cost accounting in which costs are accumulated by individual jobs which when material is used and labor costs are incurred

Front 7

Perpetual Inventory Master File

Back 7

a continuously updated computerized record of inventory items purchased, used, sold, and on hand for merchandise, raw materials, and finished goods.

Front 8

Process cost system

Back 8

System of cost accounting in which costs are accumulated for a process, with unit costs for each process assigned to the products passing through the process

Front 9

Standard Cost Records

Back 9

records that indicate variances between projected material, labor, and overhead costs and the actual costs.