Professional Skepticism And Judgment Practice Test

A nonissuer manufacturing company is undergoing a financial statement audit under AICPA standards. Management provided an accounts receivable confirmation response in a PDF forwarded from the controller’s email, and the auditor notes the customer’s domain in the PDF footer does not match the customer’s known website; management explains the customer “recently changed domains.” Based on the evidence, what is the auditor's best course of action?

A nonissuer technology startup is undergoing a review engagement under AICPA standards. Management reports a significant increase in deferred revenue, but refuses to provide customer contracts, stating they are “confidential,” and instead offers a summary spreadsheet. Based on the evidence, what is the accountant's best course of action?