Once the Auditor Is Satisfied with the Transaction-Related Controls in the Revenue

question 36

True/False

Once the auditor is satisfied with the transaction-related controls in the revenue and accounts receivable area, it is not important for the auditor to gain an understanding of the controls that exist over the ending account balances and the related disclosures made in the financial statements.

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Definitions:

Coercion

The act of compelling someone to act in a certain way by use of force, threats, or pressure.

Talcott Parsons

An influential American sociologist known for his work in the theory of social action, sociology of health, and functionalism.

Social Roles

The expected behaviors, duties, and responsibilities assigned to individuals based on their position in society.

Illnesses

Conditions that affect the health and well-being of individuals, often causing symptoms or suffering that require medical attention or care.