ASRE 2410 - Review of an Interim Financial Report Performed by the Independent Auditor of the Entity - April 2006
Trade PayablesTrade Payables
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Trade Payables
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Enquire about the accounting policies for initially recording trade payables and whether the entity is entitled to any allowances given on such transactions.
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Obtain and consider explanations of significant variations in account balances from previous periods or from those anticipated.
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Obtain a schedule of trade payables and determine whether the total agrees with the trial balance.
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Enquire whether balances are reconciled with the creditors’ statements and compare with prior period balances. Compare turnover with prior periods.
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Consider whether there could be material unrecorded liabilities.
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Enquire whether payables to shareholders, those charged with governance and other related parties are separately disclosed.