The audit team typically reviews journal entries in the receivables ledger for unusual entries that may be indicators of fraudulent activity.

Question

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The review of journal entries in the receivables ledger is a common practice in auditing to detect potential fraudulent activity. The audit team looks for unusual entries that do not have adequate supporting documentation or are out of the ordinary. Such entries may be an indication of fraudulent activity, and the audit team may recommend further investigation or examination of the accounts.

The Audit Team Typically Reviews Journal Entries in the Receivables