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Potential Follow-up Exception 1. Commission expense as a percent of sales was constant for several years but has increased significantly in the current year.
Potential Follow-up Exception 1. Commission expense as a percent of sales was constant for several years but has increased significantly in the current year. Commission rates have not changed. 2. The rate of inventory turnover has steadily decreased for three years. 3. Inventory as a percent of current assets has steadily increased for four years. 4. The number of days' sales in accounts receivable has steadily increased for three years 5. Allowance for uncollectible accounts as a percent of accounts receivable has steadily decreased for three years. 6. The absolute amounts of depreciation expense and depreciation expense as a percent of gross fixed assets are significantly smaller than in the preceding year. Significances Procedures
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