Determine an appropriate test of controls you would employ

Reference no: EM133416956

Question: You are the auditor of Revolution Pry Lid (Revolution), and have made the following notes on Revolution's cash receipts procedures.
• Cheques are received by mail and from sales representatives, who may obtain cheques directly from customers.
.
All cheques are forwarded to the credit control clerk in the sales order department, who restrictively crosses the cheques. She then enters the details of the cheque into the system via a terminal and ages the receipt from the remittance advice details provided by the debtor, as allached to the cheque.
.
After all cheques have been processed, the credit control clerk prints the daily cash receipts report. This report details all cheques input into the system since the production of the previous report. She agrees all cheques to this report, prepares a bank deposit slip and banks the cheques.
• At the end of the day, the accounts receivable master file is updated with cash receipts data.

REQUIRED
Identify the appropriate assertions and determine an appropriate test of controls you would employ for each control.

Reference no: EM133416956

Questions Cloud

Prepare form 940 for 2021 : Prepare Form 940 for 2021. No FUTA deposits were made during the year. Lauprechta Incorporated's Employer Identification Number (EIN) is 36-1238975

What is the prematurity period for these entities : How are programming costs recorded during the prematurity period and How should franchise application costs be recorded by these entities

How much is jungkook net income for tax : How much is Jungkook's net income for tax purposes in accordance with Section 3 of the Income Tax Act?

Information to sufferers of range of common disease types : Create short information leaflets which could be used in the NHS to provide information to sufferers of a range of common disease types.

Determine an appropriate test of controls you would employ : Identify the appropriate assertions and determine an appropriate test of controls you would employ for each control

Examples of the strategic application of business research : What are some results from the Hofstede cultural intelligence results that your company should notice? What are some dos and don'ts for negotiation?

What is the appropriate balance for oceanside : What is the appropriate balance for Oceanside's Allowance for Doubtful Accounts at December 31, Year 1?

How much revenue should rothbart recognize in 2024 : The manufacturing contract is expected to last six months, and as of December 31, 2024, the job is 50% complete. How much revenue should Rothbart recognize

What is the author claim about the relationship between : What is the author 's claim about the relationship between science and the sacred? What are your thoughts after reading this article ? Can the sacred exist

User Account

All Pages