A Risk of Material Misstatement in Accounts Receivable Associated with the Accuracy

question 71

Multiple Choice

A risk of material misstatement in accounts receivable associated with the accuracy balance-related audit objective is that "sales recorded at the incorrect price result in revenue and accounts receivable that are over- or understated." Which of the following tests of detail of balances would respond to this risk?

• A)Select a sample of master file change forms and verify that all sales prices changes were appropriately authorized.
• B)Use audit software to match sales invoice price details to authorized prices in the sales price master files.
• C)Enquire with management with respect to the procedures used to update the sales price master file.
• D)Match shipping details for a sample of invoices to the invoice details on an item by item basis.

Understand the legal and social framework of segregation and its challenges.

Grasp the impact of immigration policies on various ethnic groups in the late 19th century.

Acknowledge the evolution of labor movements and their influence on American society.

Comprehend the significance of landmark Supreme Court decisions and their impact on citizenship and rights.

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Definitions:

Reactionary Movements

Groups or actions that aim to restore a previous state of society, often in response to perceived moral, social, or political decline.

Oppressive Society

A social system where certain groups are systematically subjected to discriminatory treatment, injustice, and coercive control by dominant groups.

Government Framework

A structure that outlines the organization, powers, and functions of the government, establishing how it operates and interacts with its citizens.

Law Overthrow

The act of removing or overturning established legal systems or principles.