Auditors Are Likely to Prepare a Proof of Cash When

question 65

Multiple Choice

Auditors are likely to prepare a proof of cash when the client has

• A) material internal control weaknesses in cash.
• B) material internal control weaknesses in accounts receivable and revenue.
• C) material internal control weaknesses in accounts payable and inventory.
• D) material internal control weaknesses in payroll.

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Definitions:

Distributive Justice

The perceived fairness in the allocation of resources or rewards among individuals or groups within a society or organization.

Procedural Justice

The fairness of the processes that lead to outcomes, affecting perceptions of fairness in organizational decisions.

Organizational Citizenship Behaviour

Voluntary actions of employees that contribute to the overall culture and function of the organization but are not part of their formal job requirements.

Proactive Behaviour

Actions taken by individuals to affect change in their environment, including anticipating and preventing problems or making the most of opportunities.