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During the Audit of Gibson Mines Ltd, the Auditor Notes

Question 6

Multiple Choice

During the audit of Gibson Mines Ltd, the auditor notes a large series of cheques that does not clear for an unusually long time after the period end. What may the auditor suspect from this observation?


A) vendors are eager to get their payments
B) the reconciliation is accurate
C) cash does not exist
D) the presence of held-cheques at period-end

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