When Using Confirmations to Provide Evidence About the Completeness Assertion

question 15

Multiple Choice

When using confirmations to provide evidence about the completeness assertion for accounts payable,the appropriate population most likely would be

• A)Vendors with whom the entity has previously done business.
• B)Amounts recorded in the accounts payable subsidiary ledger.
• C)Payees of checks drawn in the month after the year-end.
• D)Invoices filed in the entity's open invoice file.

---

Definitions:

Shipping Cost

Expenses associated with the transportation of goods from one place to another.

Net Sales

Total sales revenue minus returns, allowances for damaged or missing goods, and discounts.

Sales Discounts

Sales discounts are reductions in the price of a product or service offered by a seller to a buyer, usually to encourage prompt payment or bulk purchases.

Sales Returns

Transactions involving the return of sold goods by customers to the seller for a refund or credit, often due to defects or dissatisfaction.