A small manufacturing company makes only credit sales. If cash receipts from sales are misappropriated, which of

Question:

A small manufacturing company makes only credit sales. If cash receipts from sales are misappropriated, which of the following acts would most likely conceal this fraud?

a. Understating the accounts receivable control account.

b. Understating the accounts receivable subsidiary ledger.

c. Overstating the sales journal.

d. Understating the cash receipts journal.

Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...

Fantastic news! We've Found the answer you've been seeking!