Unlike the sales business process,the accounts receivable business process does not generate cash,therefore,risk assessment of the accounts receivable process is optional under SOX as long as internal control is adequate.

Question

Quizplus · Accepted Answer

This statement is false. Risk assessment of the accounts receivable process is mandatory under SOX, even if it does not directly generate cash. Internal control alone cannot be relied upon to ensure the accuracy and completeness of the accounts receivable process.

Unlike the Sales Business Process,the Accounts Receivable Business Process Does