Listed below are several misstatements that could occur in the inventory, accounts payable, and accrued liabilities accounts. For each misstatement, design a substantive audit procedure that would provide reasonable assurance of detecting it.

a. When client employees counted the physical inventory, they included a number of items that were consigned to, but did not belong to, the client.

b. Several accounts payable to vendors that the client has never purchased from before are omitted from the accounts payable listing.

c. A bonus earned by the president of the company has not been recorded.

d. One-third of the inventory of precious gems is actually worthless glass.

e. There is no disclosure in the financial statements that a large accounts payable is due to a related party.

f. Accrued payroll is overstated.
g. During the year being audited, a competitor of the client markets a product that renders a client product obsolete. A substantial stock of this product is on hand at year-end.
h. The client paid the same accounts payable balance twice.
i. The client failed to record warranty expenses incurred after year-end applicable to sales made before year-end.
j. Client personnel informed the auditors that underground petroleum tanks contained an inventory of high-octane gasoline when they actually contained water.
k. The client failed to record sales commissions applicable to sales during the last month of the year.
1. The client uses a job-order cost system. During the year costs were charged to the wrong jobs with the result that some jobs showed profits and others showed losses. The jobs with profits were closed, and those with losses remained in inventory.
m. Inventory in one corner of the warehouse is overlooked and not counted during the client's physical inventory count.
n. During the afternoon of the last day of the year, the client shipped and recorded as a sale items that had been counted and included as part of the physical inventory that morning.
o. Because of the installation of new high-tech equipment at the end of the year, production cost of the company's product was reduced significantly.