Oceanview Marine Company 30-4 Audit Program Accounts Payable (continued) December 31, 2018 AUDIT PROCEDURES * INIT W/P COMMENTS 4. Obtain list of cash disbursements after year-end to perform search for unrecorded liabilities and tests of year-end payables balances: a. determine scope of testing; b. select items for testing; c. trace amounts representing accounts payable at year-end to listing of accounts payable; d. evaluate and summarize any payments representing potential omissions or misstatements of year-end accounts; e. evaluate acceptability of the population. ANALYTICAL PROCEDURES 5. Compare accounts payable and accrued liabilities in the current year to prior years and obtain explanations for significant differences. STATEMENT PRESENTATION 6. 7. 8. * Determine if groupings are consistent with previous periods. Reclassify any debit balances. Verify that accounts payable is classified as a current liability on the balance sheet. Audit Objectives: Accuracy Classification A Co Ro BC BC 30-11 to 30-19 30-20 E Co A BC Increase due to higher volume and increased inventory. P BC Yes. Consistent. A P BC None P BC Done Completeness Cutoff Detail tie-in Existence P resentation and disclosure Rights and obligations