Accounts receivable tends to carry higher risk of material misstatement due to the complexity and subjectivity involved with initial recognition, subsequent measurement, and valuation. In addition, revenue recognition is presumed to be a significant fraud risk. This risk assessment auditing CPE will explain tips and best practice techniques for auditing common accounts receivable risks, primarily focusing on existence and valuation.
Learning Objectives
Upon completion of this course, participants will be able to:
Identify typical audit risks and special audit considerations related to accounts receivable
Explain how to tailor a detailed audit plan to assessed risk of material misstatement
Evaluate external confirmation responses for propriety
Evaluate allowance for doubtful accounts for proper valuation
