Design tests of controls, substantive tests of transactions, and analytical procedures for the Cash Cycle at Apollo Shoes.
The two main elements of the cash cycle are accounts receivable and accounts payable - cash coming in and cash going out. Both departments (A/R and A/P) at Apollo Shoes need to be separated and they should be highly structured to prevent any potential fraud or other misstatements. Within the accounts receivable portion of the cash cycle, it is important that separate logs be maintained. This is due to the size of ...
This solution provides a detailed explanation for the tests of controls, substantive tests of transactions, and analytical procedures for the cash cycle at Apollo Shoes.