Reference no: EM133114535

Substantive testing

Learning objective
In this assignment, you will apply your knowledge of substantive testing to accounts payable at Alpine Bags.

Required
An audit program is a road map for conducting a particular part of the audit. An audit team will create audit programs for performing substantive and/or control testing within particular accounts.

Each audit program is unique to the client and its current financial condition-therefore, audit programs for Alpine Bags this year (2023) may be different from reviews of similar types of clients in past years.

For the audit of the accounts payable of Alpine Bags, an audit program has been given to you by your Audit Manager (A4-1). You should work through the audit program and perform the various audit procedures.

In the program, you will see a column labelled "Tick marks." A tick mark is a symbol used in audit testing as a form of shorthand to indicate that a particular audit procedure has been conducted. Tick marks should be placed as close as possible to the piece of information you are testing (a dollar amount, a signature, a date) if the test is successful. Do not use a tick mark if the test fails; for example, if two amounts do not match (and they should).

The next columns labelled "Initials" and "Date" should be completed with your details once you have completed that particular audit procedure. In a large audit, multiple people are often involved in conducting procedures from a single audit program-understanding which tests have been completed and by which staff members is vital to ensuring that the audit is managed and completed appropriately.

In the appendix provided, you will find documents required for the substantive testing of Using the audit evidence provided on the following pages, complete the following audit program.

Attachment:- Substantive testing.rar