Which one of the following best describes the auditors responsibilities regarding appropriate authorizations in the sales/collections cycle?
A)B, C, and D should all be of concern to the auditor.
B)Credit must be authorized before the sale.
C)Goods must be shipped after the authorization.
D)Prices must be authorized.

Question

Quizplus · Accepted Answer

The auditor should be concerned with all aspects of authorization in the sales/collections cycle, including credit authorization before sales, shipment authorization, and price authorization, to ensure proper controls and prevent fraud or errors.

Which One of the Following Best Describes the Auditors Responsibilities