A Strong Internal Control System Will Reduce the Amount of Substantive

question 78

True/False

A strong internal control system will reduce the amount of substantive testing that must be performed.

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Definitions:

Note Receivable

A written promise that signifies an entity or person will receive a specified sum of money at a defined future date.

Past-due Account

An account that has not been paid by the due date, indicating overdue payments.

Receivable

Amounts of money owed to a company by customers or clients for goods or services delivered but not yet paid for.