Inquiry of client personnel and a review of lease transactions for the same period can provide evidence on proper cutoff for capital leases.

Question

Quizplus · Accepted Answer

Inquiring with client personnel and reviewing lease transactions can provide evidence to support the proper cutoff for capital leases. This is because such an inquiry and review would help determine whether all lease transactions relevant to the period in question have been recorded correctly and whether the cutoff has been done accurately. Therefore, option A is correct.

Inquiry of Client Personnel and a Review of Lease Transactions