The Use of the Negative (As Opposed to the Positive)form

question 99

Multiple Choice

The use of the negative (as opposed to the positive) form of receivables confirmation is indicated when

• A)internal control surrounding accounts receivable is considered to be ineffective.
• B)there is reason to believe that a substantial number of accounts may be in dispute.
• C)a large number of small balances are involved.
• D)accounts receivable consists of current balances only.

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Definitions:

Outcome

The result or effect of an action, situation, or event, often used in experiments to denote the dependent variable being measured.

Deductive Reasoning

The process of reasoning from one or more statements (premises) to reach a logically certain conclusion.

Likelihood

A statistical measure of how probable a particular set of observations is, given a model or hypothesis, often used in the context of estimating parameters in statistical models.

Hypothesis

A proposed explanation for a phenomenon, made as a starting point for further investigation.