The Audit of Year-End Physical Inventories Should Include Steps to Verify

question 66

Multiple Choice

The audit of year-end physical inventories should include steps to verify that the client's purchases and sales cutoffs were adequate.The audit steps should be designed to detect whether merchandise included in the physical count at year-end was not recorded as a

• A) Sale in the subsequent period.
• B) Purchase in the current period.
• C) Sale in the current period.
• D) Purchase return in the subsequent period.

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Definitions:

Prospect Participation

The involvement or engagement of potential customers in the sales process, often contributing to a more personalized buying experience.

Trial Closes

Techniques used by salespeople during a sales conversation to gauge the potential buyer's readiness or interest in making a purchase.

Unrehearsed Demonstration

A spontaneous or impromptu presentation of a product or service's features and benefits, without prior preparation.

Order Form

A document used by customers to specify the details of the products or services they wish to purchase.