Bank balances and receivables are commonly associated with which type of audit evidence?
A) confirmation
B) physical examination
C) Confirmation
D) inquiries of the client

Question

Quizplus · Accepted Answer

Bank balances and receivables are most commonly verified through confirmation, as this involves the auditor directly contacting the bank or customer to obtain independent confirmation of the balances or amounts owed. Physical examination and inquiries of the client may be used to gather additional information, but confirmation is the most reliable and commonly used method for these types of audit evidence.

Bank Balances and Receivables Are Commonly Associated with Which Type