In which of the following circumstances would the use of the negative form of accounts receivable confirmation most likely be justified?

A. A small number of accounts may be in dispute and the accounts receivable balance arises from sales to a few major customers.
B. A substantial number of accounts may be in dispute and the accounts receivable balance arises from sales to a few major customers.
C. A substantial number of accounts may be in dispute and the accounts receivable balance arises from sales to many customers with small balances.
D. A small number of accounts may be in dispute and the accounts receivable balance arises from sales to many customers with small balances.


Answer: D

Business

You might also like to view...

An extremely risk averse investor will choose an investment?

A. ?with the lowest risk B. ?with the highest standard deviation C. ?with the highest return and highest risk D. ?with the lowest capital-gains yield

Business

To be a successful salesperson, a salesperson must love to sell.

Answer the following statement true (T) or false (F)

Business

Group depreciation is an appropriate method for a large company calculating depreciation on office equipment

Indicate whether the statement is true or false

Business

Nonverbal messages universally convey the same meaning to different people

Indicate whether the statement is true or false

Business