Positive Accounts Receivable Confirmations Were Circularized,and There Were Many Differences

question 63

Multiple Choice

Positive accounts receivable confirmations were circularized,and there were many differences where the client stated that the goods had not been received as of the date of the confirmation.In addition to the possibility that the goods were not received by the client,this type of reported difference could be an indication of

• A)a cutoff misstatement.
• B)timing differences with respect to recording sales returns.
• C)improper recording of sales allowances.
• D)theft of cash or lapping.

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Definitions:

Throwing Rocks

The act of physically propelling stones or small boulders, often used in contexts of play, aggression, or protest.

Nurturing

Providing support, care, and encouragement to help someone grow, develop, or succeed.

Cold and Distant

Describing someone as cold and distant means they are emotionally unresponsive, unfriendly, and tend to keep others at a distance.

Punishment

The process by which a behavior is weakened, decreasing the likelihood of repetition.