1. Consider how an organization must manage cash receivablesand inventory. Which of the three current assets is the mostimportant to manage? Is one more susceptible to fraud and errorsthan the others? Explain your answer. How would a misstatement ineach affect the organization?2. What is the perpetual method of tracking inventory? How does itdiffer from the periodic method of tracking inventory? Why would acompany choose one method over the other method? Which is the bestmethod? Why?
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