Options are the following:

• Review board of director meeting minutes for proper authorization of all current-year debt and equity transactions.
• Vouch recorded payables to invoices, purchase orders, and receiving reports.
• Recalculate current-year depreciation expense.
• Compare accounts receivable write-offs with doubtful accounts estimates.
• Obtain and inspect the title documents to such fixed assets.
• Perform a search for unrecorded liabilities.
• Confirm a sample of accounts receivable.
• Inquire whether any inventory is out on consignment at year-end.
• Examine debt instrument agreements and characteristics for proper classification.
• Trace inventory test counts to inventory subsidiary accounts.
• Inquire about accounts receivables that have been sold or factored.
• Inquire about possible obsolete inventory at year-end.

Financial statements that are in conformity with the applicable financial reporting framework contain certain management assertions relating to amounts and disclosures in the financial statements. A substantive audit plan will contain a list of audit procedures for gathering evidence related to relevant assertions for the client's significant financial statement accounts, disclosures, transactions, etc. The list in the table below provides a range of relevant assertions for the given account for which the auditor is performing substantive procedures. Double-click on the associated shaded cells and select from the list provided. An explanation may be used once, more than once, or not at all. A1 lock copy cut paste A B 1 B 2 Substantive auditing procedure 3 1. Existence of accounts receivable 4 2. Completeness of the accounts payable balance 5 3. Rights and obligations to inventory 6 4. Valuation (or allocation) of the fixed assets 7 5. Completeness of the inventory 8 6. Presentation of debt instruments