Streamline your auditing liabilities with our Other Liabilities Audit Work Program, designed to maintain accurate financial records and approvals. The program outlines potential risk areas, such as unauthorized expenses in accrual balances and misclassifications, thereby guiding auditors to examine records and processes critically. It provides specific audit objectives aimed at ensuring that liabilities are accurately recorded in compliance with company policies and generally accepted accounting principles (GAAP).

By detailing the steps necessary for obtaining a thorough understanding of other liabilities, including accrued taxes and deferred revenue, the document enables auditors to perform essential tasks like testing for proper classification, supporting documentation, and timely reconciliations. Furthermore, it encourages customization of the audit approach based on the unique circumstances of the business, ensuring that the auditor can address specific challenges and maintain the integrity of financial reporting. Overall, this work program enhances the effectiveness and efficiency of the auditing process concerning other liabilities.

Auditing steps include:

• Obtain a detailed list of other liabilities, detailing the type, amount and origin, including taxes payable and deferred revenue.
• Develop a narrative describing the roles, responsibilities and process for initiating, calculating, authorizing and recording these accounts.
• Ensure that reconciliation testing is performed on other asset balances as reported and that they are accurate and complete.
• Ensure that deferred revenue is properly recorded and not understated.