Scenario for 4 questions .

John Brown is auditing American Manufacturers Inc's long-term debt schedule as of October 31, Year 7. The audited schedule of debt is below. Use this schedule to answer the questions about the audit procedures most likely performed by John.

$450,000 # Int on last day of Manufacturing 5 0 ++ 5450 000 x First quarter. Principal Equipment National due in full on 9/30/Year9 5 270,000 X A. (Elark, Due in full Unsecured $700,000 $200,000 ++ $500,000 x majority 10/31/Year 9 share- holder $1,080,000 $450,000 5 310,000 51,220,000 X X X X Note the three tick marks on the schedule that was prepared by the client. Tick mark 1---- # Tick mark 2 ---- X Tick mark 3---- ++ 510,000 principal Mortgage on S 380,000 5 110,000 ++ Second plus Interest due on production State 1St of month. Due in facility Bank full 1/1/Year 10