Question Details

(Solved) The following audit procedures are included in the audit program of Harris Manufacturing, Inc.


The following audit procedures are included in the audit program of Harris Manufacturing, Inc.

1. Use audit software to examine journal entries in the sales, cash receipts, purchases, cash disbursements, payroll, and general journals for any amounts exceeding $1 million and for any entries with unusual account codings. Review related supporting documentation for reasonableness.

2. Examine the estimate for the Allowance for Doubtful Accounts recorded in the prior year audited financial statements. Obtain information about receivable writeoffs recorded during the current fiscal year for receivables included in the prior year audited financial statements and obtain other information to perform a hindsight evaluation of the reasonableness of the allowance account included in the prior year audited financial statements.

3. Continue to observe inventories at Harris' two main distribution centers, but for this year examine inventories at its two smaller warehouses not examined in prior years. Management does not expect you to examine those additional warehouses.

4. During the current year, Harris has entered into a joint venture partnership with a company that serves similar customers, but makes an entirely different product than Harris. Inquire of management about the business rationale for this transaction.

5. Review for reasonableness any manual journal entries made by management to adjust the computer-generated accounting records.

a. What is the overarching purpose for performing all of these procedures?

b. How might each audit procedure in 1 through 5 help the auditor identify fraud risk?

 


Solution details:
STATUS
Answered
QUALITY
Approved
ANSWER RATING

This question was answered on: Sep 05, 2019

PRICE: $18

Solution~000200147606.zip (25.37 KB)

Buy this answer for only: $18

This attachment is locked

We have a ready expert answer for this paper which you can use for in-depth understanding, research editing or paraphrasing. You can buy it or order for a fresh, original and plagiarism-free solution (Deadline assured. Flexible pricing. TurnItIn Report provided)

Pay using PayPal (No PayPal account Required) or your credit card . All your purchases are securely protected by .
SiteLock

About this Question

STATUS

Answered

QUALITY

Approved

DATE ANSWERED

Sep 05, 2019

EXPERT

Tutor

ANSWER RATING

GET INSTANT HELP/h4>

We have top-notch tutors who can do your essay/homework for you at a reasonable cost and then you can simply use that essay as a template to build your own arguments.

You can also use these solutions:

  • As a reference for in-depth understanding of the subject.
  • As a source of ideas / reasoning for your own research (if properly referenced)
  • For editing and paraphrasing (check your institution's definition of plagiarism and recommended paraphrase).
This we believe is a better way of understanding a problem and makes use of the efficiency of time of the student.

NEW ASSIGNMENT HELP?

Order New Solution. Quick Turnaround

Click on the button below in order to Order for a New, Original and High-Quality Essay Solutions. New orders are original solutions and precise to your writing instruction requirements. Place a New Order using the button below.

WE GUARANTEE, THAT YOUR PAPER WILL BE WRITTEN FROM SCRATCH AND WITHIN YOUR SET DEADLINE.

Order Now