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Scroll down to complete all parts of this task. A CPA firm is auditing JNN Inc., a calendar year - end nonissuer, for the Year
Scroll down to complete all parts of this task.
A CPA firm is auditing JNN Inc., a calendar yearend nonissuer, for the Year audit. JNN is a small manufacturing company that manufactures and sells copiers. JNN began operations in Q Year This is the fourth consecutive year the CPA firm has been engaged to audit JNN
The audit staff created the following to document the performance of audit data analytics related to sales. The primary objective of this audit data analytics is to provide information relevant to assessing and responding to the risks of material misatatement related to occurrence, completeness, and accuracy of revenue. As the audit senior for this engagement, you have the responsibility to review and revise this document, as needed. Use the additional information in the exhibits above to help determine whether any revisions are necessary.
To revise the documentation, click on each segment of underlined text below and select the needed correction, if any, from the list provided. If the underlined text is already correct in the context of the documentation, select Original text from the list. If removal of the entire underlined text is the best revision to the list, select Delete from the list.
Objective of the Audit Data Analytics ADA
In addition to other risk assessment procedures related to occurrence, completeness, and accuracy of sales, we performed audit data analytics to help us determine whether we needed to modify our current risk assessment. The primary objective of this test was to help identify whether there were any unusual or unexpected changes in revenue or sales mix from prior years that may affect our current risk assessment related to occurrence, completeness, and accuracy of sales and related response to that risk. Furthermore, we will determine whether significant declines in sales indicate potential issues with existence of fixed assets as a result of obsolescence or the completeness of warranty provisions if the declines are due to quality issues
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Original text Furthermore, we will determine whether significant declines in sales indicate potential issues with existence of fixed assets as a result of obsolescence or the completeness of warranty provisions if the declines are due to quality issues
Delete Text
Furthermore, we will determine whether significant declines in sales indicate potential issues with existence of inventory as a result of obsolescence or the completeness of warranty provisions if the declines are due to quality issues
Furthermore, we will determine whether significant declines in sales indicate potential issues with fixed asset valuation as a result of obsolescence or the completeness of warranty provisions if the declines are due to quality issues
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