If Management and Salespeople Are Compensated on the Basis of Achieving

question 10

Multiple Choice

If management and salespeople are compensated on the basis of achieving high sales targets,there is increased incentive to record sales before they have been earned.In such a situation,the auditor will increase the extent of testing for which of the following transaction-related audit objectives for sales?

• A)cut-off and classification
• B)classification and occurrence
• C)occurrence and cut-off
• D)completeness and cut-off

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Definitions:

1998 General Social Survey

An annual survey conducted in the United States to collect data on demographic characteristics, behaviors, attitudes, and opinions of the American population.

Quality Of Medical Care

The degree to which health care services for individuals and populations increase the likelihood of desired health outcomes and are consistent with current professional knowledge.

Illness And Death

Refers to the physical sickness that can lead to the cessation of life.

Rates

Measurements or quantities expressed as a proportion or frequency of occurrence, often used in statistics and research.