The use of confirmations for cash balances and trade accounts receivable is considered a generally accepted auditing standard. However, auditors may decide not to use them if suitable alternative procedures are available and applicable in particular circumstances. Justifications for the decision not to use confirmations for trade accounts receivable in a particular audit should be documented. Required: What are the acceptable reasons that could be justifiable not to use the standard confirmation?

Answer rating: 100% (QA)

There are several acceptable reasons that could justify the decision not to use standard confirmations for trade accounts receivable in a particular a... View the full answer