An Audit Procedure That Compares the Name,amount,and Dates Shown on Remittance

question 75

Multiple Choice

An audit procedure that compares the name,amount,and dates shown on remittance advices with cash receipts journal entries and with related duplicate deposit slips would be effective in detecting

• A)kiting.
• B)lapping.
• C)illicit write-offs of customers as uncollectible accounts.
• D)sales without proper credit authorization.

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Definitions:

American People

Citizens or residents of the United States of America.

Economic Expansion

A phase of the business cycle when the economy grows, characterized by increasing employment, economic output, and consumer spending.

Supply-Siders

Advocates of the economic theory that reducing tax rates and regulatory barriers to production lead to an increase in supply of goods and services, driving economic growth.

Tax Rates

The percentages at which income, purchases, or other financial transactions are taxed by governments.