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When designing tests of details of balances, an important point to remember is

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When designing tests of details of balances, an important point to remember is

When designing tests of details of balances, an important point to remember is

▸ auditors emphasize income statement accounts.

▸ the audit procedures selected depends heavily on whether planned evidence for a given objective is low, medium, or high.

▸ if accounts receivable are overstated, then sales will be understated.

▸ sales cutoff is the most important test of details of accounts receivable.

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Auditing and Assurance Services

Edition: 17^th

Authors: Arens, Elder, Beasley, Hogan

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