Customer Name	Balance per Client's Books (12/31/2014)	A	Confirmation #	1st Confirmation (Sent Date)	1st Confirmation (Received Date)	Does customer confirm balance per client's books? (Yes / No)	If "No" in Column (6), what is balance per customer's books? ($)	Does difference noted in Column (7) represent a timing difference or a misstatement difference?	Notes / Explanations / Follow-up Procedures
Outdoor Recreation Unlimited	$ 13,184.61		071-01	9/01/2015	3/02/2015	Yes	N/A	N/A	Balance is confirmed; no follow-up procedures recommended.
Clarke County School District	12,478.39		082-01	9/01/2015	22/01/2015	No	4,228.39	timing difference	Payment submitted on December 30th for $8250
Henderson Little League	7,412.92		089-01	9/01/2015	19/01/2015	Yes	N/A	N/A	Balance is confirmed; no follow-up procedures recommended.
South Dakota State - North	42,644.00		098-01	9/01/2015	15/01/2015	Yes	N/A	N/A	Balance is confirmed; no follow-up procedures recommended.
Middle East Tennesse State	11,845.27		103-01	9/01/2015	21/01/2015	Yes	N/A	N/A	Balance is confirmed; no follow-up procedures recommended.
St. Louis Youth Soccer Assoc.	22,461.79		108-01	9/01/2015	N/A	No	N/A	N/A	N/A.
USA Youth Hockey Academy	61,483.61		112-01	9/01/2015	19/01/2015	No	41,217.49	Misstatement Difference	A purchase order was sent for 20,266.12 on December 29th yet no equiipment ir invoice was received until Jan 8th.
Walla Walla Youth Football	16,281.43		131-01	9/01/2015	3/02/2015	Yes	N/A	N/A	Confirmation was returned to A/R department along with a payment for $2,412.00

Assume Darryl's sporting goods has 160 customer accounts receivable with a total undaudited AR balance of $2,990,000 and that accounts receivable represents 6% of total assets.

Use the tools we have discussed in class this semester to:

1) Develop a reasonable level of performance materiality for the account.

2) Evaluate the fairness of the AR account, given your confirmation results.

As part of your analysis, state any assumptions your feel are necessuary to complete parts 1 and 2. Show all mathmatical calcuations/equations in your response and be sure to justify your analysis. As part of your response, identify the account balance related assertion that is most at risk. Discuss the degree of confidence, and the factors that affect the level of confidence you have in your analysis.