Instructions for Assignment.
Assume you are working on a 12/31 year-end audit. It is now March 31st and the 12/31 accounts receivable aging shows a large receivable that was outstanding on 12/31 for 120 days. Further, the client’s receivables are typically collected in less than 45. You anticipate that the client’s allowance for doubtful account should be increased and inform the client about your disposition. The client disagrees. Is there an alternative substantive procedure that you could perform that would provide convincing evidence that this balance is collectible? If so, explain.
Access and briefly review PCAOB Auditing Standards 2500 Audit Procedures for Certain Accounts or Disclosures, 2600 Special Topics, 2700 Auditor’s Responsibilities Regarding Supplemental and Other Information, and 2800 Concluding Audit Procedures to build your foundation knowledge of the activities related to audit procedures, consideration of the internal audit function, and management representations. Topics include balance sheet and income statement accounts, inventory, legal issues for the client, and the entity’s use of service organizations as they relate to the audit process.
Auditing Accounting Estimates, Including Fair Value Accounting Estimates, and Related Disclosures
You can also use google for extra resources. please make sure you reference all sources. this is APA format single space 400 words
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