auditing i 461037
For each of the following specific audit procedures, indicate the type of audit procedure(s) it represents: (1) inspection of records or documents, (2) inspection of tangible assets, (3) observation, (4) inquiry, (5) confirmation, (6) recalculation, (7) reperformance, (8) analytical procedures, (9) scanning, (1/7), and (9/7).
a. Sending a written request to the client’s customers requesting that they report the amount owed to the client.
b. Examining large sales invoices for a period of two days before and after year-end to determine if sales are recorded in the proper period.
c. Agreeing the total of the accounts receivable subsidiary ledger to the accounts receivable general ledger account.
d. Discussing the adequacy of the allowance for doubtful accounts with the credit manager.
e. Comparing the current-year gross profit percentage with the gross profit percentage for the last four years.
f. Examining a new plastic extrusion machine to ensure that this major acquisition was received.
g. Watching the client’s warehouse personnel count the raw materials inventory.
h. Performing test counts of the warehouse personnel’s count of the raw material.
i. Obtaining a letter from the client’s attorney indicating that there were no lawsuits in progress against the client.
j. Tracing the prices used by the client’s billing program for pricing sales invoices to the client’s approved price list.
k. Reviewing the general ledger for unusual adjusting entries.