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8. During audit planning for 2019, an auditor performed the following analytical procedures to assess the fraud risk related to sales, A/R, and inventory. 2019
8. During audit planning for 2019, an auditor performed the following analytical procedures to assess the fraud risk related to sales, A/R, and inventory. 2019 2018 (audited) Credit Sales 1,000,000 800,000 Cost of sales 550,000 500,000 Gross profit 450,000 300,000 Gross profit % 45% 37.5% Account receivable turnover 3 5 Inventory turnover 6.1 6 Required: What type of fraud may be committed according to the results? Explain. Om (5 Points) Enter your
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