To what extent do auditors typically rely on internal controls of their public company clients?

How is credit approval generally handled for established customers with a documented payment history?

A) A new credit application is requested. B) General authorization by a sales clerk C) Specific authorization by the credit manager D) A formal credit check should be made for each sale.

Which of the following would most likely be classified as a current liability?

a. two-year notes payable b. bonds payable c. mortgage payable d. unearned rent