Certain Types of Misstatements That Affect Cash May Be Detected

question 5

Multiple Choice

Certain types of misstatements that affect cash may be detected in the audit of tests of controls.Which of the following misstatements would be detected in the audit of the acquisition and payment cycle?

• A)failure to bill a customer for goods shipped
• B)billing a customer at the incorrect price
• C)improper reimbursement of an officers' personal expenses
• D)paying an employee at the incorrect wage rate

---

Definitions:

Expertise

Specialized skill or knowledge in a particular field or domain, acquired through experience or education.