1.) Consult PCAOB AS 2301 and AS 2401, along with AICPA AU-C 240 and 330. In your own words, please explain an auditors responsibility regarding the testing of journal entries while completing the financial statement audit. Use references where appropriate. Why do you believe it is important to test Journal Entries?

2) Consult PCAOB AS 2401, along with AICPA AU-C 240. In your own words, please identify the factors that might elevate the risk associated with specific journal entries recorded in the financial statements. Use references where appropriate. How do you believe that increased access to a clients complete set of data, along with advanced analytical tools could be helpful in selected higher risk journal entries for detailed testing?

3) Consult Staff Audit Practice Alert No. 12 Matters Related to Auditing Revenue (https://pcaobus.org/Standards/QandA/9-9-14_SAPA_12.pdf) and Alert No. 10 Professional Skepticism (https://pcaobus.org/Standards/QandA/12-04-2012_SAPA_10.pdf). Next, please critically think about the procedures that an auditor should complete for each journal entry selected for testing. Please use the Staff Audit Practice Alerts to provide the rationale for your answer.

4) Please consult the situation analysis above and consider the data interrogation that you completed in Phase One of this assignment. Next, please critically think about the fraud risk factors that emerge from your analysis of Eagle Motor Company. If you were asked to complete Journal Entry testing at Eagle Motor Company, please identify three separate data queries you would