For which of the following accounts is cutoff least important?
A)Sales
B)Sales returns and allowances
C)Cash collections
D)Inventory

Name: For which of the following accounts is cutoff least important? A)Sales B)Sales returns and allowances C)Cash collections D)Inventory
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Question

Quizplus · Accepted Answer

Cutoff is least important for cash collections because it primarily affects the timing of cash flow rather than revenue recognition or inventory valuation, which have more significant impacts on financial statements.

For Which of the Following Accounts Is Cutoff Least Important