Requirement a$.$ For each misstatement, identify the balance$-$related audit objective to which it pertains. $($Each item can be selected more than once or not at all.$)$

Misstatements sometimes found in the sales and collection cycle's account.

$1.$ Several cash receipts were posted to the incorrect customer accounts.

$2.$ A shipment made in the subsequent period is recorded as a current period sale.

$3.$The allowance for uncollectible accounts is inadequate because of the client's failure to

reflect depressed economic conditions in the allowance.

$4.$Several accounts receivable are in dispute as a result of claims of defective merchandise.

$5.$The pledging of accounts receivable to the bank for a loan is not disclosed in the financial

statements.

$6.$Goods were returned for credit on the last day of the fiscal year but the sales return was

not recorded until the following fiscal year.

$7.$Several accounts receivable in the accounts receivable master file are not included in the

aged trial balance.

$8.$One account receivable in the accounts receivable master file is included on the aged trial $8$ balance twice.

$9.$Long$-$term interest$-$bearing notes receivable from affiliated companies are included in acccounts receivable.

Balance related audit objective choices:

Accuracy, Completeness, Classification, Cutoff, Detail tie$-$in$,$ Existence, Presentation, Realizable value, Rights, Rights and presentation