For the Most Part, the Audit of the Sales and Collection

question 81

Multiple Choice

For the most part, the audit of the sales and collection cycle:

• A) can be performed independently of the audit of other cycles.
• B) cannot be performed until the audit of cash is completed.
• C) must be performed first so that the audit of the other cycles can rely on the data.
• D) must be performed simultaneously with the audit of the purchases and disbursements cycle.

---

Definitions:

Reasonable Means

Utilizing practical and rational methods or measures when performing tasks or solving problems, aiming for effectiveness with efficiency.

Mode of Communication

The method or process by which information is conveyed between individuals or groups, such as verbal, written, or non-verbal communication.

Mailbox Rule

is a legal principle that an offer, acceptance, or any other form of legal communication is considered effective once it is dispatched, not when it is received.

Rebate

A partial refund given to someone who has paid too much for tax, rent, or a utility.