Auditors obtain several different confirmations from various sources
during the course of their audit.
Required:
Describe the audit evidence provided by each of the confirmations listed
below, the practical difficulties in obtaining them and the alternative audit
evidence available when they are not provided:
(a) Management representations. (7 marks)
(b) Direct confirmation of receivables. (7 marks)
(c) Confirmation of inventory held by third parties. (6 marks)