Which of the following are accounting symptoms that may indicate cash or marketable security misstatements?
A) Obtaining statements directly from financial institutions as of the date you are concerned about.
B) Differences between recorded amounts and amounts confirmed with banks, brokers, and other independent parties.
C) Having physical possession of marketable security certificates.
D) Comparing cash and marketable security balances with those of similar companies.

Question

Quizplus · Accepted Answer

Differences between recorded amounts and amounts confirmed with banks, brokers, and other independent parties can indicate misstatements in cash or marketable securities. Obtaining statements directly from financial institutions and having physical possession of marketable security certificates are preventative measures for misstatements, but do not necessarily indicate existing misstatements. Comparing balances with similar companies may identify potential issues but is not a specific symptom of misstatements.

Which of the Following Are Accounting Symptoms That May Indicate