Prepare an audit plan for the audit of accounts receivable

Question

Response to the following :

Part 1) Why was SOX and PCAOB created, and their effect on auditors.

Part 2)

Question 1- Prepare an audit plan for the Audit of Accounts Receivable. It is now December 15, 2016. The client's year end and the audit date is march 31, 2017.

Question 2- How would you go about testing the controls regarding the revenue and collection cycle?

Part 3)

Question 1- Prepare an audit plan for the observation of the physical inventory count. It is now December 31, 2016 and the physical inventory is scheduled for January 3, 2017. The audit date is March 31, 2017.

Question 2- How would you go about testing the controls over the purchase of inventory items? Comment how one might go about being satisfied that the company achieve a proper cutoff in the beginning inventory purchases at the end of the year (which is March 31 in this case).