For each of the following substantive procedures, first note whether it is a test of details of transactions or a test of details of account balances….

For each of the following substantive procedures, first note whether it is a test of details of transactions or a test of details of account balances. Then decide for which assertion the test provides the best evidence.1. Trace large cash receipts and payments to the source documents and the general ledger.2. Examine copies of note and bond agreements.3. Recompute accrued interest payable.4. Review debt activity for a few days before and after year-end to determine whether transactions are included in the proper period.5. Examine due dates on notes and bonds for proper classification between current and long term debt.

Procedure1. Trace large cashreceipts and paymentsto the sourcedocuments and thegeneral ledger.2. Examine copies ofnote and bondagreements.3. Recompute accruedinterest payable.4. Review…

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