Cut-off testing of revenue is designed to ensure that sales are recorded:
AAt the correct amount
BIn the correct accounting periodCORRECT
CBy the correct salesperson
DIn the correct currency
ICANAudit & AssuranceAudit of Revenue, Purchases and Payroll2025
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Why the answer is B, and why the others tempt you.
Cut-off testing examines despatch documentation and invoices either side of the year end to confirm that sales are recognised in the period in which control of the goods transferred.
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