procedure that would be effective in detecting the fraud. $($If an input field is not used, leave the input field empty; do not select a label.$)$

$($Click the icon to view a list of controls and audit procedures.$)$

the fraud. $($If an input field is not used, leave the input field empty; do not select a label.$)$

The company engaged in channel stuffing by

shipping goods to customers that had not been

ordered.

The allowance for doubtful accounts was

understated because the company altered the aging

of accounts receivable to reduce the number of days

outstanding for delinquent receivables.

The accounts receivable clerk stole checks received

in the mail and deposited them in an account that he

controlled. He issued credit memos to the customers

$3.$ in the amount of the diverted cash receipts.