Temple, CPA, is auditing the financial statements of Ford Lumber Yards, Inc., a privately held corporation with 300 employees and five stockholders, three of whom are active in management. Ford has been in business for many years but has never had its financial statements audited. Temple suspects that the substance of some of Ford's business transactions differs from their form because of the pervasiveness of related party relationships and transactions in the local business supplies industry.

Required:

Describe the audit procedures Temple should apply to identify related party relationships and transactions.