Cash receipts from sales on account have been misappropriated.Which of the following acts would conceal this defalcation and be least likely to be detected by an auditor?
A)postponing recording of cash receipt entries
B)overstating the accounts receivable control account
C)overstating the accounts receivable subsidiary ledger
D)recording cash receipt entries early

Question

Quizplus · Accepted Answer

Postponing the recording of cash receipt entries can conceal the defalcation by delaying the recognition of cash inflows, making it less likely for auditors to detect discrepancies during routine checks.

Cash Receipts from Sales on Account Have Been Misappropriated