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Problem - Substantive Tests - Biscuit Buddy Ltd (BBL) is a small-medium manufacturer of treat dispensers for pets. BBL maintains a computerised (perpetual) inventory system that includes the following details for each product:
Stock code;
Physical location code;
Product description;
Unit cost;
Quantity on hand;
Date of last sale;
Quantity sold during the year;
Unit selling price.
Required -
a. List and explain five substantive tests, relating to inventory of BBL, you could perform using generalised audit software.
b. For each procedure listed in 'a', indicate which assertion is the focus of the test.
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