You are planning a substantive test for purchase transactions to determine if all purchase invoices from suppliers represent items that were actually received by the Receiving Department. What is the appropriate population to select your sample for this test?

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BlackTom AI · Accepted Answer

First, let's restate the scenario in my own words to anchor our thinking: we want to test whether all purchase invoices from suppliers correspond to items actually received by the Receiving Department, so we need to define the population over which we will sample.
Option 1: Purchase orders. Purchase orders are the documents that initiate a purchase and specify what was ordered, but they do not confirm what was actually received or what was billed. They are upstream documents and may not reflect actual receipt or invoicing accuracy, so using them as the population would not directly address whether invoices match receipts. This makes this choice inappropriate for the stated objective.
Option 2: Receiving report documents. Receiving reports document what was actually received, and they are often used to reconcile against purchase orders and invoices. While receiving reports are relevant to physical receipt, the test’s goal is to examine whether invoices reflect items received, so the population that links billing to receipt is typically the invoices themselves. Using receiving reports alone would test receipt accuracy but not the invoicing linkage, which misses the test objective.
Option 3: Cash disbursements. Cash disbursements show payments made, but they may include payments that are not tied one-to-one to individual invoices or shipments, and they can be processed later or split across periods. This population could obscure the specific relationship between each invoice and the corresponding receipt, making it a less precise basis for the test.
Option 4: Purchase invoices. This option directly represents the bills received from suppliers and, when paired with receiving data, allows us to determine whether the invoices reflect items that were actually received. Sampling purchase invoices aligns with the objective of verifying that invoiced quantities and items were indeed received by the Receiving Department, making this the most appropriate population for the test.
In summary, the aim is to validate the accuracy of invoicing against actual receipt; therefore, sampling from purchase invoices targets the correct set of documents to assess whether what was invoiced matches what was received, distinguishing it from the other documents that either precede receipt or summarize payments without verifying receipt-to-invoice linkage.

You are planning a substantive test for purchase transactions to determine if all purchase invoices from suppliers represent items that were actually received by the Receiving Department. What is the appropriate population to select your sample for this test?单项选择题

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