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Audit Program Design

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Audit Program Design ACC/546 Chandria Willis

August 3, 2015

Frank G. Elliot Apollo Shoes, Inc. Langley, ME
Dr Mr. Elliot,
We have developed test o controls of substantive test of transactions, and analytical procedures for the audit of Apollo Shoes Inc.’s sales and collection cycle, payroll and personnel cycle, acquisition and payment cycle, and Inventory and Warehousing cycle in line with the generally accepted auditing principles. The objective is to verify existence, accuracy and completeness. A substantive test should be associated with each of the transactions related to the audit objectives.
The objectives of the audit include the occurrence, accuracy, completeness, posting, classification, summarization, and timing. Analytical Procedures must be performed in the planning stage of the audit and reviewed near the end of the audit. This serves to provide additional assurance to the auditor that the account has also been presented fairly in line with the generally accepted accounting principles.
Based on previous research, it is our opinion that the sales and collection cycle controls are significantly ineffective. Several of the results indicate that the sales transactions are improperly recorded due to absent bill of ladings and a lack of correct approvals resulting in issues with Apollo Shoes Inc. collection activities as well as erroneous customer billing as a result of over and undercharges.

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