An employee who recently transferred into the internal audit activity has been assigned to audit the accounts payable system. Which function, if previously performed by the auditor, would represent a conflict of interest?
A.
Monitoring the allowance for doubtful accounts.
B.
Writing procedures for the handling of duplicate payments.
could also be a). If auditor was responsible for monitoring and circumvented purposely the monitoring control, a clear conflict of interest woud exist if the auditor would review the monitoring controls
Provision for Doubtful debts is on accounts receivable , and not accounts payable as per the question.
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