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Your client is a manufacturer of handheld tools that employs a sales force to market the tools to retail hardware stores. You plan to use

Your client is a manufacturer of handheld tools that employs a sales force to market the tools to retail hardware stores. You plan to use substantive analytical procedures to gather persuasive evidence about the reasonableness of commissions expense. The visualization titled Average Commission Rate per Customer has sales and commissions expense data. You can determine whether the relationship between commissions and sales makes sense. If it does, that suggests that commissions expense is fairly stated. The commission policy of the client is as follows: For sales greater than $75,000, commission is 3.75% For sales greater than $50,000, but less than $75,000, commission is 2.5% For sales greater than $25,000, but less than $50,000, commission is 1.25% For sales less than $25,000, commission is 0.5% You can open the Tableau file in this problem statement with Tableau Desktop software. If you do not have a version of Tableau Desktop, you can open the file with Tableau Reader. Tableau Reader is a free download that allows you to open visualizations built with Tableau Desktop. To find a free download of Tableau Reader on the Tableau website, search for Tableau Reader in your internet browser, or click here. Ch 9 SAP Commission and Sales Why would an auditor choose to examine relationships between sales and commissions? What is another way to gather evidence about the occurrence and completeness of commissions expense? Type your answer here

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