An Audit Plan for Accounts Payable Would Not Include Which

question 61

Multiple Choice

An audit plan for accounts payable would not include which of the following procedures?

• A)Obtaining a trial balance of recorded accounts payable
• B)Sending confirmation to accounts with zero balances
• C)Reviewing cash receipts for the period after year-end.
• D)Obtaining written client representations about related-party payables and pledges of assets as collateral for liabilities

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Definitions:

Bushels

A unit of volume that is used in the United States for measuring agricultural produce such as grain, fruits, and vegetables.

Profit-maximizing

The process or strategy of adjusting production and pricing to achieve the highest possible profit in a business.

Profit

The financial gain obtained when the revenue earned from business activities exceeds the expenses, costs, and taxes involved in sustaining the business.

Demand Curve

A graph illustrating how much of a given product a household would be willing to buy at different prices.