Attached is an excel workbook that contains the Audit Program for Test of Controls for EarthWear. 1. Document the risk that the control is addressing (i.e. what could go wrong if that control was not working properly?) 2. Create a set of audit procedures (steps you must take to test the control) for those bolded controls in order to complete the audit program. Please remember to think back to the Chapter 5 lecture, in which we discussed different types of audit procedures (inquiry, inspection of records and documents, observation, etc.)

EarthWear Revenue Process

TOC - Program

1-Oct-19

Testing being performed as of October 2019

Order Entry

Control

Workpaper

Details

Control 1

B1a

3-way match (customer order, shipping document, invoice) is performed by the Billing Department before

an invoice is sent to the customer, which triggers the recording of a sale (V/A, C/U, R&O, E/O)

Control 2

B1b

Open order report is generated by the system and reviewed weekly by the Billing Department (C )