Problem 10-28 For each of the following problems, provide an audit procedure that would have identified the problem.

(a) The allowance for doubtful accounts estimated by management is too small.

(b)

Cash received in payment of an account receivable is deposited in the

bank in the current period but is not posted to the accounts receivable

record, trial balance, or general ledger until the subsequent period.

(c)

For a month, sales are transacted using an outdated price list with

amounts that are too low. The transactions are recorded accurately based

on the price list used. Management is not aware the problem occurred.

(d)

Cash for the exact amounts of sales are regularly pocketed by employees

and not recorded on the sales terminal. Customers do not ask for

receipts.

(e) Management records false sales close to year end and posts them as Accounts Receivable.

(f) Sales on account for services that take place in the first two days of the subsequent year are posted in the current year.