Which of the following do NOT indirect information?

Which of the following do NOT indirect information?
A . Information about the propriety of cutoff
B . Reports that show orders that were rejected for credit limitations.
C . Reports that provide information about any unusual deviations and individual product margins.
D . The lack of any significant differences between perpetual levels and actual levels of goods.

View Answer

Answer: A

Explanation:

Information about the propriety of cutoff is a kind of direct information.

Incorrect Answers:

B: Reports that show orders that were rejected for credit limitations provide indirect information that credit checking aspects of the system are working as intended.

C: Reports that provide information about any unusual deviations and individual product margins (whereby, the price of an item sold is compared to its standard cost) provide indirect information that controls over billing and pricing are operating.

D: The lack of any significant differences between perpetual levels and actual levels provides indirect information that its billing controls are operating.