Auditing course - how to find unrecorded liabilities?

1. Look through unpaid invoices - look at the description of the services provided, and invoices date, Delivery Order date

2. Look at payment voucher after year end to find out the expenses that should be recorded in prior period, if any

3. Sent confirmation to suppliers to confirm the amount outstanding as at year end

4. Look at the expenses account, for potential indication of services which should be accrued in current year Profit & Loss

• specifically payroll and vacation.

5. Perform cut off test.