You Are Conducting an Audit and Have Obtained the Following

question 117

Essay

You are conducting an audit and have obtained the following figures with respect to sales and accounts receivable:
$$\begin{array} { l r r r } & \mathbf { 2 0 1 5 } & \mathbf { 2 0 1 4 } \\\text { Accounts receivable } &\$ \mathbf { 3 } 343000 & \$ 2694000 \\\text { Allowance for doubtful accounts } & 212150 & 207660 \\\text { Sales } & 25640000 & 24630000\end{array}$$
Required:
A) What are the audit implications of these figures?
B) Identify key audit steps that you would perform for any of the above accounts.

• A) What are the audit implications of these figures?
• B) Identify key audit steps that you would perform for any of the above accounts.

---

Definitions:

Nonslip Footwear

Shoes designed with a special sole to prevent slipping, often used in clinical settings to reduce the risk of falls among patients and healthcare workers.

Allergic

An abnormal and often hypersensitive reaction of the immune system to certain substances or allergens, such as pollen, food, or dust.

Fire Extinguisher

A device containing an agent that can be discharged to extinguish a fire.

Pull The Alarm

An action taken to activate an emergency signal or alert system, typically in response to a fire or another immediate threat.