Rich Pugh Unit 6 Project

Rich Pugh Unit 6 Project - 10-63 If this control is not...

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10-63 If this control is not implemented effectively, what misstatement could happen? List one test of control that would show if the control is working properly to avoid the misstatement you identified. 1 If credit risks of sales under $10,000 are high then receivables will become impaired due to being uncollectable. Computerized testing of computer controls. Testing the controls of the credit policy for transactions under $10,000 to ensure that proper credit risks are taken in to account. 2 If the valuation control is not implemented correctly then unusual or uncommon sales terms may occur. Manually reviewing evidence of control operation. Reconcile invoices to ensure correct terms are applied to invoices. 3Completeness control of shipping documents could be misstated if valid transactions aren’t recorded Examination of references noted to ensure shipping documents have been properly accounted for. 4 Allowance for customer complaints on
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Rich Pugh Unit 6 Project - 10-63 If this control is not...

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