When Accounts Receivable Are Confirmed at an Interim Date, Auditors

question 75

Multiple Choice

When accounts receivable are confirmed at an interim date, auditors need not be concerned with:

• A)obtaining a summary of receivables transactions from the interim date to the year-end date.
• B)obtaining a year-end trial balance of receivables, comparing it to the interim trial balance, and obtaining evidence and explanations for large variations.
• C)sending negative confirmations to all the customers as of the year-end date.
• D)considering the necessity for some additional confirmations as of the balance sheet date if balances have increased materially.

---

Definitions:

Social Welfare Programs

Initiatives designed to provide assistance to individuals and families in need, often including health care, education, and financial aid.

Disengagement Theory

A theory of aging that suggests an inevitable withdrawal from social roles and relationships as people age, leading to increased individual and societal well-being.

City Administrator

A professional appointed by a city council or mayor responsible for managing the daily operations of a city and implementing council policies.

Low Income

Refers to individuals or families that earn significantly less than the average income for their society or geographical area.