The Most Effective Audit Procedure for Determining If an Account

question 77

Multiple Choice

The most effective audit procedure for determining if an account receivable will be collected is ________.

• A)examination of cash collections subsequent to the year-end
• B)examination of sales invoice(s)
• C)confirmation of the account
• D)the review of the customer's file to determine previous collection experience and to check sales orders from the customer for evidence credit approval