Audit Procedures	W/P Ref.	Mgmt	Initials	Comments
	Assertions
1	Agree current year amounts on Accounts Receivable lead schedule to trial balance.
2	Agree prior year amounts to prior year audited financial statements.	E-2	Acc	TC	Agreed without exception.
3	Foot Accounts Receivable lead schedule.
4	Obtain an aged trial balance of individual customer accounts. Recalculate the total and trace to the Trial Balance.
5	Review the aging for large and unusual items.	E-2	E, Acc, Net Val, Cutoff, Rts,	TC	No unusual items noted.
6	Send confirmations to all accounts over $1,000,000 plus some randomly chosen accounts.	E-3	E, Acc	TC	Confirmations (representing approximately 92% total AR coverage) mailed on 01/14, Second request on 01/30.
a	Investigate exceptions reported by customers. Resolutions to any exceptions should be noted on the confirmation and any related proposed adjustments added to the lead schedule.
b	Perform alternative procedures on accounts that do not respond to positive confirmation requests.
i	Vouch cash receipts after the confirmation date for subsequent payment.
ii	Vouch sales invoices and shipping documents if no cash receipt is available.
7	Evaluate the adequacy of the allowance for doubtful accounts.
a	Vouch a sample of current amounts in the aged trial balance to sales invoices to determine whether amounts aged current should be aged past due.	E-2	E, Cut, Net Val,	TC	No exceptions noted.
b	Calculate and document an allowance estimate using prior collectibility history, any changing economic conditions, and specific accounts determined to be uncollectible that have not been previously addressed. Compare your estimate to the Allowance balance at year end. Note any proposed adjustment and add to the lead schedule.

								PfM	126,373
			(Audited)				Credits/		Unaudited
			Balance				Receipts/		Balance			Adjustments	Audited
Acct #	Account Title		12/31/19		Additions		Writeoffs		12/31/20		AJE#	Dr	Cr	12/31/20	WP
11000	Accounts Receivable	PY	$16,410,902.71		$231,613,231.99		$196,508,874.72		$51,515,259.98					$51,515,259.98
11100	Advances to Employees	PY	$0.00		$0.00		$0.00		$0.00					$0.00
11400	Other Receivables	PY	$0.00		$1,250,000.00		$0.00		$1,250,000.00					$1,250,000.00
11500	Allowance for Doubtful Accounts	PY	($1,262,819.88)		$0.00		($23,810.13)		($1,239,009.75)					($1,239,009.75)
			$15,148,082.83		$232,863,231.99		$196,485,064.59		$51,526,250.23					$51,526,250.23
											Adjusting Journal Entries:
											AJE	Account	Debit	Credit

Additional Guidance: - Review all workpapers in the MS Excel file before approaching the audit. - Complete the highlighted audit procedures in the audit program (E-O) - Upon completion of the audit procedure - enter the workpaper reference, applicabl management assertion(s), sign-off on the step and document comments regarding testing. - Record your adjusting journal entries on E-1 A/R Lead Schedule and post in the space provided - reference workpaper - Document work performed using designated tick marks. The tick mark legend is located at the bottom of each work paper. - Remember that cross-references on the left indicate the number is from that document and on the right if the number goes to that document. - Link all numbers within and between spreadsheets. - Signoff on all workpapers in the prepared by space provided - Conclude on all workpapers: evidence reviewed along with workpaper ref, procedure applied, conclusion on audit test. - Although I included D-4 Cut-off Bank Statement in the file - you will not need it for your testing. It is included, so you can see an example of a cut-off statement. - Upon completion upload your completed file to Canvas. - All references and tickmarks should be in red font