a. Complete the following continuity schedule indicating how the movements in the allowance for doubtful accounts tie into other amounts in the financial statements.

b. Prepare an audit program listing the procedures that can be used to audit the accounts in this system. Demonstrate how your audit program addresses all the relevant assertions.

Transcribed Image Text:

FINANCIAL STATEMENT WHERE AMOUNT IS REPORTED AUDITED AMOUNT Opening balance of allowance for doubtful accounts Add: Deduct: Ending balance of allowance for doubtful accounts