Which of the following is least indicative of fraudulent activity?a. Numerous cash refunds have been made to different people at the same post office box address.b. Internal auditors cannot locate several credit memos to support reductions of customers’ balances.c. Bank reconciliation has no outstanding checks or deposits older than 15 days.d. Three people were absent the day the auditors handed out the paychecks and have not picked them up four weeks later.
Which of the following is least indicative of fraudulent activity?a. Numerous cash refunds have been made to different people at the same post office box address.b. Internal auditors cannot locate several credit memos to support reductions of customers’ balances.c. Bank reconciliation has no outstanding checks or deposits older than 15 days.d. Three people were absent the day the auditors handed out the paychecks and have not picked them up four weeks later.
Auditing: A Risk Based-Approach (MindTap Course List)
11th Edition
ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter10: Auditing Cash, Marketable Securities, And Complex Financial Instruments
Section: Chapter Questions
Problem 31CYBK
Related questions
Question
Which of the following is least indicative of fraudulent activity?
a. Numerous cash refunds have been made to different people at the same post office box address.
b. Internal auditors cannot locate several credit memos to support reductions of customers’ balances.
c. Bank reconciliation has no outstanding checks or deposits older than 15 days.
d. Three people were absent the day the auditors handed out the paychecks and have not picked them up four weeks later.
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Auditing: A Risk Based-Approach (MindTap Course L…
Accounting
ISBN:
9781337619455
Author:
Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Auditing: A Risk Based-Approach (MindTap Course L…
Accounting
ISBN:
9781337619455
Author:
Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:
Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College