You are involved in the audit of accounts receivable, which represent a significant portion of the assets
Question:
For each situation, state how the auditor should proceed with the accounts receivable audit.
a. The computer operations manager says the company’s computer is running at full capacity for the foreseeable future and the auditor will not be able to use the system for audit tests.
b. The computer scheduling manager suggests that your computer program be stored in the computer program library so that it can be run when computer time becomes available.
c. You are refused admission to the computer room.
d. The systems manager tells you that it will take too much time to adapt the auditor’s computer audit program to the computer’s operating system and that company programmers will write the programs needed for the audit.
Required
For each situation, state how the auditor should proceed with the accounts receivable audit.
Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...
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Related Book For
Accounting Information Systems
ISBN: 978-0133428537
13th edition
Authors: Marshall B. Romney, Paul J. Steinbart
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