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accepted accounting principles accepted auditing standards accounting control system accounting records accounts payable accounts receivable adjusting entry AICPA adapted amount analytical review appropriate areas assets assurance audit evidence audit objectives audit program auditing procedures auditor's opinion auditor's report balance sheet bank cash receipts Certified Public Accountants chapter checks client company's compliance confirmation considered Corporation cost count CPA firm December 31 described designed determine disclosure discussed documents effect employees engagement letter entries Ethics evaluation evidence examination example financial position financial statement presentation flowchart function included income internal accounting control internal auditors internal control investments invoices ledger liabilities material ments Nonclient obtained operational audit papers payroll performed personnel population practice prepared processing professional rendered responsibility result retained earnings risk sample securities selected specific statistical sampling substantive tests tolerable error transactions unqualified opinion users usually verify