Selection of a sample - audit process, Auditing

Selection of a Sample - Audit Process

The following accounts must be involved in debtor's circularisation:

1) Large balances since they are large and the moreover you can substantiate of the debtors figure, the more assured you are.

2) All unpaid accounts since there may be fictitious balances designed to conceal defalcations or there may be a specific dispute both of that can reason overstatement.

3) Accounts along with round sum payments: this may show lading and teeming or such the debtor cannot pay the full amount.

4 ) Accounts along with NIL balances: this is since of active debtors by the year may be used to conceal window dressing methods.

5) Credit balances: therefore a sales system should produce debit balances, if it Create credit balances; they require to be investigated to ensure about such they were properly set up. The client may be reluctant to permit you to advise his customers of credit balances in case they have been overlooked and the customer now enquires for payment. We resolve that objections through omitting the balance figure from the circular.

6) Accounts wherever credits or discounts seem excessive or where credit durations are continuously exceeded without follow up.

7) Other accounts which must be considered for circularisation are: accounts not composed of specific items, small balances which are usually large, accounts along with related parties and accounts that the auditor feels put him upon query.

Posted Date: 1/28/2013 12:25:35 AM | Location : United States







Related Discussions:- Selection of a sample - audit process, Assignment Help, Ask Question on Selection of a sample - audit process, Get Answer, Expert's Help, Selection of a sample - audit process Discussions

Write discussion on Selection of a sample - audit process
Your posts are moderated
Related Questions
IAS 36 Impairment of Assets It is very necessary for the auditor to determine the client's method for determining and accounting for impairments.  Corresponding IAS 36, 'impai

Auditors use various tools to document their understanding of an entity's internal control system, including narrative descriptions, internal control questionnaires, and flowcharts

Kelley Brent, CA, is a partner in a one-office CA firm that audits Dane, Inc., a closely held corporation. Kelley''''s sister was recently appointed as the chief financial officer

Write a paper (may be real or fictional) involving Accounting and business moral dilemmas. The paper should be 13 pages (double spaced) in accordance with APA guidelines. more des

Taxation - Audit Process Companies suffer corporation tax. The Companies Act use that corporation tax payable on the profits of any specific year should be matched against tho

Measures To Be Taken By the Individual Auditor Proper recruitment and training of all staff; Allocating staff to particular audits where they have the appropriate skills;

Beneficial Ownership - Audit Process We have to examine documents of title as e.g. title motor vehicles, deeds and log books.  Whether there are no implied ownership can suffi

hi, im a preformer and i want to know should i be myself duing an audition or should i act proper ans sweet like everyone els

example of it security policies in Hardware

Verification Procedures - Investment Verification actions should follow the common approach outlined in favor of tangible noncurrent assets. Conversely the following particula