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As part of the audit of accounts payable and other liabilities, the auditor should consider the materiality of the proposed adjustment. a. Discuss the materiality

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As part of the audit of accounts payable and other liabilities, the auditor should consider the materiality of the proposed adjustment. a. Discuss the materiality considerations for purchases of goods that are in-transit shipped FOB shipping point but not received or recorded as inventory at year-end. b. Explain materiality considerations for errors that affect net income versus those that only affect the balance sheet. What additional consideration is needed for those that affect net income

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