question:

In relation to your planning for substantive procedures and collecting evidence for the accounts receivable account, you have identified the following controls: An independent credit approval process prior to shipment to customers. A requirement that the legal team verifies both the credit and contract terms around supply on credit. An independent proofreading of invoices. An independent process for checking accounts receivable journal entries. Access is restricted to billing software. Cash receipts matched to sales invoices before posting to the accounts receivable master journal Please identify an example of one procedure that could be used to test the control for each of the key controls identified above

You are provided the following financial information Given your internal control insights, you believe that you need to look at the accounts receivable accounts of the milk company for the year ended 30 June 2024. The companay's accounts receivable balance was recorded as $5,260,000 and comprised more than 2,300 customer accounts. However, the five largest customer balances comprised a high percentage of the recorded accounts receivable (more than $1,000,000, or 20% ). In relation to the determining a sampling technique, your team has advised of the following parameters