Certified Internal Auditor (CIA) Part 2: Practice of Internal Auditing — Question 213

Which of the following would be the most persuasive form of audit evidence regarding the performance of the accounts receivable department?

Answer options

• A. Documented policies and procedures of the accounts receivable process and organizational chart showing the employees responsible for each procedure.
• B. Confirmation with customers regarding the existence of receivables.
• C. Copies of contracts with key customers.
• D. A recently completed accounts receivable aging report.

Correct answer: B

Explanation

The correct answer, B, is the most persuasive form of evidence because direct confirmation from customers provides reliable validation of account balances. In contrast, options A, C, and D are useful but less reliable because they do not involve direct customer verification and can be subject to internal biases or inaccuracies.