An Auditor Is Testing Sales Transactions

question 57

Multiple Choice

An auditor is testing sales transactions.One step is to trace a sample of debit entries from the accounts receivable subsidiary ledger back to the supporting sales invoices.What would the auditor intend to establish by this step?

• A)All sales invoices have been recorded.
• B)Sales invoices represent bona fide sales.
• C)Debit entries in the accounts receivable subsidiary ledger are properly supported by sales invoices.
• D)All sales invoices have been properly posted to customer accounts.

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Definitions:

Altered State Of Consciousness

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A practice involving focus, relaxation, and mindfulness to achieve mental clarity and emotional calmness.

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