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QUESTION

Imagine that you were auditing accounts receivable balances to confirm sales and found significant discrepancies between the recorded account balances and returned confirmations from customers. Recomm

Imagine that you were auditing accounts receivable balances to confirm sales and found significant discrepancies between the recorded account balances and returned confirmations from customers. Recommend an alternative approach to confirming sales revenue. Provide a rationale for your recommendation.

DQ#2  Is the confirmation of accounts receivable always required?

DQ#3  What is the difference between management discretion and the intentional falsification of accounting records? 

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