Merchandise inventory – to distinguish which inventories in merchandise might have been included in prepaid inventory and double counted. 3. Grant thornton should have requested more documentation from the vendors rather than directly from JGI. Internally prepared audit evidence is less reliable that that from outside sources. 4. Testing the step by step procedures of a company first hand to evaluate their reliability. It is not required by GAAS 5. Obtaining documentation from outside sources, recalculation, questioning of the companies accountant Cohn 6. The auditors have no responsibility beyond bringing potential weaknesses to the companies attention.
Lakeside introductory case 1. Partner- is responsible for working with a