Question

Below are 10 documents typically examined during an audit. Classify each document as either internal or external.  

1. Accounts receivable subsidiary ledger

2. Authorization form to withhold voluntary United Way contributions

3. Purchase Order

4. Articles of Incorporation

5. Bank Statements

6. Minutes of board meetings

7. Signed lease agreements (assume you are "making a purchase" through a lease)

8. Payroll register

9. Sales Invoice (assume you are the "seller")

10. Cancelled checks

Answer 1

Transaction	Answer
1. Accounts receivable subsidiary ledger	External
2. Authorization form to withhold voluntary United Way contributions	External
3. Purchase Order	External
4. Articles of Incorporation	Internal
5. Bank Statements	External
6. Minutes of board meetings	Internal
7. Signed lease agreements (assume you are "making a purchase" through a lease)	External
8. Payroll register	Internal
9. Sales Invoice (assume you are the "seller")	Internal
10. Cancelled checks	Internal