Multiple Choice
What type of error is the CPA most likely to discover when he/she examines all shipping reports dated in January of 20X1,shipped FOB shipping point,which were recorded in December of 20X0 as credit sales?
A) Accounts receivable are understated at December 31,20X0.
B) Accounts receivable are overstated at December 31,20X0.
C) Operating expenses are overstated for the 12 months ended December 31,20X0.
D) Sales returns and allowance are overstated at December 31,20X0.
Correct Answer:
Verified
Correct Answer:
Verified
Q6: Tracing recorded sales transactions to the bills
Q7: The confirmation of accounts receivable is most
Q8: Tracing copies of sales invoices to shipping
Q9: Which of the following is<b> not</b> true
Q10: Which of the following manipulations would understate
Q12: The auditors obtain audit evidence for accounts
Q13: Which of the following would indicate the
Q14: Which of the following fraudulent activities most
Q15: You were surprised to note that approximately
Q16: An auditor discovered that a client's accounts