Term
| accounts receivable balance-related audit objectives |
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Definition
| there are 8 of these. they are used to decide the appropriate audit evidence for accounts receivable |
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Term
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Definition
| a listing of the balances in the accounts receivable master file at the balance sheet date broken down according to the amount of time passed between the date of sale and the balance sheet date |
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Term
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Definition
| the follow-up of a positive confirmation not returned by the debtor with the use of documentation evidence to determine whether the recorded receivable exists |
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Term
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Definition
| a letter, addressed to the debtor, requesting the recipient to fill in the amount of the accounts receivable balance; it is considered positive confirmation |
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Term
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Definition
| misstatements that take place as a result of current period transactions being recorded in a subsequent period, or subsequent period transactions being recorded in the current period |
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Term
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Definition
| a type of positive confirmation in which an individual invoice is confirmed, rather than the customer's entire accounts receivables balance |
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Term
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Definition
| a letter, addressed to the debtor, requesting a response only if the recipient disagrees with the amount of the stated balance |
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Term
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Definition
| a letter, addressed to the debtor, requesting that the recipient directly on the letter whether the stated account balance is correct or incorrect and, if incorrect by what amount |
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Term
| realizable value of accounts receivable |
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Definition
| the amount of the outstanding balances in accounts receivable that will ultimately be collected |
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Term
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Definition
| a reported difference in a confirmation from a debtor that is determined to be a timing difference between the client's and debtor's records and therefore not a misstatement |
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