Auditors Are Concerned with the Addresses Provided for Customers in the Confirmation

question 68

Multiple Choice

Auditors are concerned with the addresses provided for customers in the confirmation of accounts receivable because of which of the following reasons?

• A) Confirmations are selected based upon zip codes.
• B) A P.O. Box is more reliable than a street address.
• C) Confirmations should be sent only to business addresses and not residential.
• D) The address may be routed to the client for retrieval and fraudulent signing.

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Definitions:

Endogenous Depression

A type of depression arising from internal factors, often biological or genetic, rather than external life events.

Seasonal Affective

A type of depression related to changes in seasons, typically starting in the fall and continuing into the winter months.

Cognitive Therapy

A psychological treatment approach aimed at changing thought patterns to alter behavior and emotional states.

Depressed People

Individuals experiencing a persistent feeling of sadness or a lack of interest in external stimuli, which can significantly impact daily functioning.