Question $2$

$(25$

You are a manager in the computer audit section of Arthur & Anderson, a large auditing firm. You

are currently concerned with the audit of Wangezi $($Pty$)$ Ltd$,$ a distributor of computer components,

software and accessories. Wangezi $($Pty$)$ Ltd uses EDI $($Electronic Data Interchange$)$ to conduct

business with a few of its trading partners. All EDI communications take place through a VANS

$($Value

Added

Network

Service$).$

Ryan Chriss, the partner in charge of the audit of Wangezi $($Pty$)$ Ltd has asked you to assist in the

audit of this company and has indicated that he would like you to begin by considering the EDI

system as it relates to the revenue and receipts cycle. Initial investigations and enquiries of Muhle

Mankin $($financial manager$),$ in this regard have revealed the following d