RSM427H1 Lecture Notes - Lecture 8: Credit Score, Trial Balance
Document Summary
Audit objective: accuracy ensure a/r balance agree with gl. Audit test: select a sample of 20 invoices from the aged a/r trial balance, use the invoice date to calculate the number of days outstanding, then cross reference to the aged a/r trial balance. Data required: aged a/r trial balance, sample of 20 invoices, gl. Data required: a list of sales orders under ,000, customer information. Data required: sales invoice, shipping documents, cash receipts. Audit test: recalculate balance of inventory using the general audit software and verify costs used against a list of purchases from suppliers. Inventory counts or record of items in inventory: purchase list of inventories, price list from supplier. Audit test: take a sample of sales orders and vouch them to the outstanding orders file to a/r, recalculate price using price list and match the sales orders to posting to customer accounts and shipping documents.
