You are the audit manager in charge of auditing the accounts of Brussels Ltd.Materiality for the audit has set at $300,000.Balance date was 30 June 2020.It is the 25th of August 2020 and you are at the client's premises to undertake the audit.The pre-audited balance of accounts receivable for Brussels Ltd as at 30 June 2020 is $925,000.The audited balance of accounts receivable as at 30 June 2019 was 590,000.

Required:

(a)Which assertion(s) related to accounts receivable is the risk of material misstatement likely to be greatest?Give appropriate reasons for the selected assertion(s).

[4 marks]

(b)Suggest substantive procedures that you would use to verify the assertion(s) you identified in your answer to part (a).