Accounting During an audit of the XYZ Corp., the auditors received a bank confirmation confirming that a wholly-owned subsidiary held the equivalent of $5 billion in cash and marketable securities in a Chase bank account in New York City. However, the bank account and the securities did not exist. Given that the auditors used the client company’s computers to send the email confirmations, what is a plausible explanation for how this might have occurred? How could this mistake have been avoided? Please discuss.

Answer rating: 100% (QA)

answer There could be the significant chances of fraud as t... View the full answer