You are the senior accountant in the audit of the Great Midwest Grain Corporation, whose business primarily involves the purchase, storage, and sale of grain products. The corporation owns several elevators located along navigable water routes and transports its grain by barge and rail. Your assistant submitted the following analysis for your review.

1 In what respects is the analysis incomplete for report purposes? (Do not include any discussion of specific auditing procedures.)

2. What different types of contractual arrangements may be inferred from your assistant's analysis?

3. What additional auditing procedures would you suggest that your assistant per- form before you accept the work paper as being complete?

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Great Midwest Grain Corporation ADVANCES PAID ON BARGES UNDER CONSTRUCTION-A/C 210 December 31, 19X6 Advances made 1/15/X6-Ck. 3463-RiverKing Barge Construction Co. 4/13/X6-Ck. 4129-RiverKing Barge Construction Co. 6/19/X6-Ck. 5396-RiverKing Barge Construction Co. Total payments Deduct cash received 9/1/X6 from Ling Life Ins. Co. Balance per general ledger-12/31/X6 Examined approved check request and canceled check and traced to cash disbursements record. Traced to cash receipts book and to duplicate deposit ticket. $100,000 25,000 63,000 $188,000 188,000 $ ---0-