[Anonymous]

A few questions like this have come up in the AUD thread & they are just really tricky. The correct answer apparently according to Rogers MCQ is D however, it seems like it could be A or D, really. Anyone have input?

“An auditor discovered the AR turnover decreased from year 1 to year 2. This would indicate that:

a) Fictitious credit sales were recorded during the year

b) Employees stole inventory

c) Client tightened credit granting policy

d) An employee has been lapping receivables in both years