For each of the following situations, identify the assertion and financial statement account that the auditor is interested in.

a) The auditor sent the companys bank a bank confirmation to confirm the cash balance.

b) The auditor confirms with the bank that the companys loan has a stipulation that they must pledge their accounts receivable balance as collateral on their loan.

c) The auditor is made aware that there was a delay in the shipping department at year-end. As a result of the delay, sales expected to ship on December 31^st did not leave the warehouse until January 2nd. The companys year end is December 31^st.

d) While examining the companys production line, the auditor noticed that a piece of manufacturing equipment had a out of service sign on it.

Assertion FS Account

a

b

c

d