Question 14 1 pts You are performing the audit of Aleppo Co, a company specialising in the manufacture and supply of sporting equipment. During your planning meeting with the finance director, to update your knowledge of the entity, you are informed that inventory is valued at lower of cost and net releasable value. Also, some customers are struggling to pay debts. Which of the following describes a valid audit risk? Bad debts may arise reducing the profits of the company Inventory may be overstated if the inventory is obsolete Receivables may be understated if bad debts are not written off Receivables may be overstated if bad debts are not written off