A Major Source of Cutoff Information for Sales and Purchases

question 54

Multiple Choice

A major source of cutoff information for sales and purchases of inventory is

• A) confirmations from outside parties.
• B) the test of details of balances.
• C) physical observation.
• D) the performance of analytical procedures.

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Definitions:

Pluralistic Ignorance

A psychological phenomenon where the majority of group members privately reject a norm, but assume incorrectly that most others accept it, leading to a disconnect between beliefs and behaviors.

Diffusion of Responsibility

A socio-psychological phenomenon where individuals in a group are less likely to take action or feel a sense of responsibility in the presence of others.

Aggression

Any behavior intended to harm another person who is motivated to avoid the harm

Social Psychologists

Scientists who specialize in understanding how an individual's thoughts, feelings, and behaviors are influenced by the actual, imagined, or implied presence of others.