Substantive procedures for sales and receivables assertions The auditor for Knowles, Inc is attempting to determine whether the recorded sales and accounts receivable are supported by valid transactions. Identify the assertions being tested and develop the substantive procedures to be used to satisfy the auditor's objectives

The auditor is testing the existence and occurrence assertion as the concern is from recorded amounts in the direction of source documents and transactions. The auditor would most likely perform the following substantive procedures:
? confirm balances or invoices with customers based on a sample that is representative of the receivables (and possibly sales) population.
? send second and possibly third confirmation requests.
? examine subsequent collections on account for receivables.
? scan sales journal for duplicate entries.
? trace recorded amounts of sales and receivables to customer sales invoices, orders and bills of lading