Question

Part One: True False Questions (2-5 mars/ question) 1. An aged trial balance of accounts receivable may provide evidence on the adequacy of the allowance for collectible accounts 2. Confirmation of accounts receivable by direct communication with the debtor tests the existence of accounts receivable. 3. The examination of warehouse receipts is sufficient verification of a material amount of goods stored in public warehouses The receiving department should accept only goods for which there is an approved purchase order on hand quisitions and 5. A major control procedure related to plant and equipment is about for The primary pose of control over plant and i t is to guard the sets from the 7. Confirmation of the samedi d e cedere The most directly whes perfeitheach forecorded is completeness Exis of nieco when the c oco 10. A reported the dances which i n ches been collected 11 c om flomfathe the wo r ld to the port depending w rity cher qualified the 12. The Soy At Wety of the forme 1. Independence o f the perf ect 14. Deficiencies w e d by the hotele Sele c t the day be f or the 15. delence sheet da t de c h e port for ply wipe 16. The dedic h e 17. Whiyow by the word s in the financial 1 Whe e reening of ve g native procedures, the opinios 19. The w ent to the face when clas s ying material receive to be worth 20. When there is w h o comm 's con perty in the financial -மன , the report e d னாliarasi
auditing

Answer 1

Question 1

Allowance for uncollectible accounts is an item on the balance sheet of the company where the company provides for non collections of receivables from its debtors. When an aged trial balances is drawn, it displays the outstanding balance for every category of debtors depending upon its age and what all adjustments are done in the accounts. Therefore, in my opinion aged trial balance of accounts receivable definitely provides an evidence on the adequacy of allowance for uncollectible accounts.

So, the answer is TRUE.

Note: For remaining questions, please post it separately to be answered.