Four years ago Charlotte Whitaker decided to invest in a project. At that time, she had projected annual net cash inflows would be $108,000. Over its expected four-year useful life, the project had produced significantly higher cash inflows than anticipated. The actual average annual cash inflow from the project was $126,000. Whitaker breathed a sigh of relief. She always worried that projects would not live up to expectations. To avoid this potential disappointment she tried always to underestimate the projected cash inflows of potential investments. She commented, "I prefer pleasant rather than unpleasant surprises." Indeed, no investment approved by Ms. Whitaker had ever failed a post audit review. Her investments consistently exceeded expectations.
Required
Explain the purpose of a post audit and comment on Ms. Whitaker's investment record.