A Sample of Positive Confirmations Is Mailed for Material Accounts

question 54

Multiple Choice

A sample of positive confirmations is mailed for material accounts receivable balances.The auditor does not receive a response for many of the confirmations.Which of the following is not an acceptable alternative procedure?

• A)subsequent collection.
• B)inquiry of management.
• C)mailing second and third confirmations.
• D)examination of supporting documents.

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To anticipate means to expect or predict something in the future, often taking steps to prepare for it.

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Broad statements or conclusions drawn from specific instances, often used to simplify complex information.

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Deductions or conclusions drawn from evidence and reasoning rather than from explicit statements.