If a Confirmation of an Accounts Receivable Balance Is Not

question 68

Multiple Choice

If a confirmation of an accounts receivable balance is not returned by the customer, the auditor might validate the receivable by _______.

• A)looking at evidence of subsequent cash receipt in the amount of the billing to the customer
• B)asking the client to obtain the evidence and forward it to the auditor
• C)requesting the internal audit function contact the customer
• D)confirming prior receivables by the same client

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Definitions:

Supplies

Materials, goods, or equipment required for operations in businesses or other organizations.