Question
1. You are auditing the allowance for doubtful accounts (ADAbelow. Assume that no significant changes have occurred during the year in either the entity's credit
1. You are auditing the allowance for doubtful accounts (ADAbelow. Assume that no significant changes have occurred during the year in either the entity's credit policies or customer base. What concerns, if any, about adjusting the ADA should the auditor have based on the information shown below?
2.
|
| 2011 | 2010 | 2009 | |||
|
| Client | Industry | Client | Industry | Client | Industry |
| ADA/AR | 8.3 | 7.2 | 8.5 | 7.4 | 8.3 | 7.3 |
| Days AR Outstanding | 32.4 | 23.8 | 28.6 | 25.1 | 28.3 | 24.7 |
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Peace Love Auditing Journal
Authors: Epic Love Books
1st Edition
1697161693, 978-1697161694
