While Undertaking the Audit of the Debtors' Balance, You Use

question 27

Multiple Choice

While undertaking the audit of the debtors' balance, you use your audit software to extract from the accounts receivable master file a report that shows those debtors with a positive balance owing that is overdue by more than 30 days.At which of the following account balance assertions is this report aimed?

• A)Completeness.
• B)Valuation and allocation.
• C)Occurrence.
• D)Existence.

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Definitions:

Indirect Approach

A method of communication or action that is not straightforward but instead uses suggestions or implications to convey a message.

Negative Message

A communication that delivers unfavorable or disappointing information, necessitating tactful presentation to lessen adverse reactions.

Respect For Audience

Acknowledging and valuing the perspectives, feelings, and time of those who are receiving your message or communication.

Indirect Approach

A communication style where the main point is not presented directly at the beginning but rather built up to through explanation or background.