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Control activities useful in reducing the risk of fraud focus on establishing the validity and occurrence of such transactions and include all sales returns should
Control activities useful in reducing the risk of fraud focus on establishing the validity and occurrence of such transactions and include all sales returns should be authorized by sales management the computer should match the debit memo information with the sales order a portion of sales returns should be authorized by sales management ensuring top management approves all credit memos before agreeing to a reduction in accounts receivable
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