What type of records are essential for audits in accounts receivable?

The essential records for audits in accounts receivable include invoices, payment receipts, and aging reports because they directly relate to the management and tracking of customer payments. Invoices serve as the primary documentation of sales transactions, detailing what was sold, to whom, and under what terms. Payment receipts confirm that payments have been received against those invoices, providing a clear record of cash flow. Aging reports are crucial for understanding the status of receivables, as they categorize outstanding invoices based on how long they have been unpaid. Together, these documents create a comprehensive picture of the accounts receivable process, which is critical during an audit to ensure accuracy and compliance with financial reporting standards.

The other options, while important for various business functions, do not specifically pertain to accounts receivable auditing. For instance, expense reports and client contracts relate more to operational and sales functions, inventory lists and sales forecasts focus on inventory management and sales projections, and employee timesheets and payroll records are associated with human resource management. Each has its own specific relevance, but they do not provide the necessary information for auditing accounts receivable.