The following is a description of an audit procedure performed to satisfy a specific audit objectives related to management assertions.

PROCEDURE: Multiply the average size proportions of inventory by total number of inventory items held by the client and compare them to the total square footage of the clients warehouses for reasonableness.

Required:

1. Identify the type of audit procedure (I  XI) described;

I. Footing II. Inquiry III. Vouching IV. Examination/Inspection of Documents

V. Confirmations VI. Analytical Procedures VII. Reperformance VIII. Recalculation

IX. Observation X. Tracing XI. Subsequent Events 

2. Identify the related audit objective(s) (A-E) satisfied by each procedure. 

A. Existence or Occurrence 

B. Rights and Obligations 

C. Completeness 

D. Valuation and Allocation 

E. Presentation and Disclosure