A significant risk over cash receipts is that cash paid by customers is stolen before it is
recorded.

Question

Quizplus · Accepted Answer

This is true as cash receipts are vulnerable to theft or misappropriation by dishonest employees or outsiders, which can result in unrecorded transactions and financial losses for the business. Adequate internal controls, such as segregation of duties, regular reconciliations, and secure storage of cash, should be implemented to mitigate this risk.

A Significant Risk Over Cash Receipts Is That Cash Paid