During an audit,Wicks learns that the audit client was granted a 3-month waiver of the repayment of principal on the installment loan with Blank Bank without an extension of the maturity date,which is one year in the future.With respect to this loan,the audit program used by Wicks is least likely to include a verification of the

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The audit program is least likely to include a verification of the balloon payment because the waiver of the repayment of principal does not extend the maturity date, which means the client is still obligated to make a large lump sum payment (balloon payment) at the end of the loan term. Therefore, the auditor should verify the balloon payment in the audit program. However, the interest expense, total liability at year-end, and installment loan payments are all important elements to be verified in the audit program.

During an Audit,Wicks Learns That the Audit Client Was Granted