What is the most efficient way for an auditor to determine how this type of fraud could occur and who might be the perpetrator?

An audit department has received anonymous information that an employee has allegedly been able to steal and cash checks sent to the organization by customers.

What is the most efficient way for an auditor to determine how this type of fraud could occur and who might be the perpetrator?
A . Confirm accounts receivable.
B . Confirm accounts payable.
C . Review the endorsements and banks of deposit on customers’ canceled checks.
D . Flowchart and analyze key controls in the cash receipts process.

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Answer: D