Auditors Are Concerned with the Addresses Provided for Customers in the Confirmation

question 79

Multiple Choice

Auditors are concerned with the addresses provided for customers in the confirmation of accounts receivable because of which of the following reasons?

• A)Confirmations are selected based upon zip codes.
• B)A P.O.box is more reliable than a street address.
• C)Confirmations should be sent only to business addresses and not residential.
• D)The address may be routed to the client for retrieval and fraudulent signing.

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Definitions:

Reputation

The collective opinions or beliefs about an individual, organization, or brand, typically based on past actions or performance.

Indirect Formatted Message

Communication that conveys information or expresses a viewpoint in a roundabout way, often used to soften the delivery of sensitive or controversial content.

Imply Bad News

To suggest or indicate bad news in a subtle or indirect way.

Expectation

The belief or anticipation about what should happen or what someone should achieve in the future.