Multiple Choice
Cash receipts from sales on account have been misappropriated. Which of the following acts would conceal this defalcation and be least likely to be detected by an auditor?
A) Understating the sales journal.
B) Overstating the accounts receivable control account.
C) Overstating the accounts receivable subsidiary ledger.
D) Understating the cash receipts journal.
Correct Answer:
Verified
Correct Answer:
Verified
Q4: Internal control assessment is important because it
Q5: Negative confirmation of accounts receivable is less
Q7: An auditor noted that client sales had
Q8: When an auditor decides to confirm accounts
Q10: To determine whether sales transactions have been
Q11: The control activity "credit sales approved by
Q12: In determining the adequacy of the allowance
Q13: Tracing shipping documents to prenumbered sales invoices
Q14: Which of the following is not a
Q60: The confirmation of customers' accounts receivable rarely