Audit Program Template

Audit Program Template - <You can have multiple tests...

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
Audit Program #2 Audit Objective: To test the valuation assertion of intangible assets financial statement balance sheet RMM: there is a RMM of that management could overstate or improperly value the intangible assets on the balance sheet increasing the total value of assets. <justify this assessment in the planning memo> Control #1: Research on Competition Test of Control #1: Coca-Cola should monitor the value of its products in the market relative to their competitors. The larger the marker share the larger the value of the intangible related to that product should be (describe in detail) Control #2: Consumer research Test of Control #2: Monitor the new customer acquisition rate and also customer retention rate to determine the longevity of a product line lasting. (describe in detail) <Add more controls / test of controls, if necessary>
Background image of page 1
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: <You can have multiple tests for each control> <If not performing any control tests, replace this section with a justification for not relying on controls> Analytical Procedures Analytical Procedure #1: Use industry data to determine the success of failure of products. Industry data will allow auditors to determine how Coca-Cola is doing relative to other beverage companies. These results will provide a relative idea of where intangible assets should be valued. (describe in detail) <Add more analytical procedures, if necessary> Substantive Tests Substantive Test #1: Need to have an expert in the proper area come and value intangibles. (describe in detail) Substantive Test #2: Vouch acquisition agreements and related transactions to verify amounts being received. (describe in detail) <Add more substantive tests, if necessary>...
View Full Document

Ask a homework question - tutors are online