The Most Effective Audit Procedure for Determining the Collectability of an Account

question 86

Multiple Choice

The most effective audit procedure for determining the collectability of an account receivable is the:

• A)review of the subsequent cash collections.
• B)examination of the related sales invoice(s).
• C)confirmation of the account.
• D)review of authorization of credit sales to the customer and the previous history of collections.

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