Auditor Confirmation of Accounts Payable Balances at the Balance Sheet

question 13

Multiple Choice

Auditor confirmation of accounts payable balances at the balance sheet date may be unnecessary because

• A)this is a duplication of cutoff tests.
• B)accounts payable balances at the balance sheet date may not be paid before the audit is completed.
• C)correspondence with the audit client's lawyer will reveal all legal action by vendors for nonpayment.
• D)there is likely to be other reliable external evidence available to support the balances.