Final answer:
When an auditor does not receive replies to second requests for year-end accounts receivable confirmations, they would most likely review the cash receipts journal for the month prior to the year-end to gather additional evidence of cash receipts from customers and verify the existence of accounts receivable.
Step-by-step explanation:
When an auditor does not receive replies to second requests for year-end accounts receivable confirmations, they would most likely perform the procedure of reviewing the cash receipts journal for the month prior to the year-end. This is done to gather additional evidence of cash receipts from customers and verify the existence of the accounts receivable.
Although intensifying the study of internal control concerning the revenue cycle might be a valid step, it is not specifically related to the non-replies to second requests for confirmations. Increasing the assessed level of detection risk for the existence assertion would not be an appropriate response, as this would imply accepting a higher risk of material misstatement without seeking further evidence. Inspecting the shipping records documenting the merchandise sold to the debtors would be helpful in verifying the completeness of accounts receivable, but it does not directly address the issue of non-replies to second requests for confirmations.