Which of these is not a potential misstatement for the function of recording cash receipts?
A) cash may not be deposited intact daily.
B) some receipts may not be recorded.
C) errors may be made in journalising receipts.
D) receipts may be posted to the wrong customer account.

Question

Quizplus · Accepted Answer

The function of recording cash receipts primarily concerns ensuring that all cash received is accurately recorded and accounted for in the financial records. Options B, C, and D directly relate to potential misstatements in the recording process, such as omissions, errors in journal entries, and incorrect allocation to customer accounts. Option A, while important for cash management and control, does not directly pertain to the recording function's accuracy or completeness but rather to the handling and depositing of cash.

Which of These Is Not a Potential Misstatement for the Function