Why might an auditor use a primarily substantive approach for the operation illustrated in Figure 11.3 ?
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Why might an auditor use a primarily substantive approach for the operation illustrated in Figure 11.3 ?
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FIGURE 11.3 Use of Microcomputer in a Partial Computer System The sales representative prepares daily sales orders. The sales orders are reviewed and approved by the manager. The warehouse supervisor takes copies of the sales order and prepares a daily shipping report. Merchandise is taken from the warehouse. Copies of the sales order are filed by the bookkeeper awaiting receipt of the shipping report. The shipping clerk receives the shipping report and the goods from the warehouse. After verifying that the merchandise, the sales order, and the shipping report agree, the shipping report is signed and the merchandise is shipped. The shipping report is sent to the bookkeeper and is matched with the sales order. On a daily basis the bookkeeper enters shipping report information into a microcomputer file. Sales invoices are printed daily by the microcomputer.
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Related Book For
Auditing An Assertions Approach
ISBN: 9780471134213
7th Edition
Authors: G. William Glezen, Donald H. Taylor
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