Multiple Choice
Which of the following is not a weakness of using industry averages for auditing?
A) The industry data are broad averages.
B) Different companies follow different accounting methods.
C) They can be helpful in identifying potential misstatements.
D) All of the above are weaknesses.
Correct Answer:
Verified
Correct Answer:
Verified
Q128: Substantive analytical procedures performed in all phases
Q129: Assume the auditor determines that verifying marketable
Q130: Which ratio is computed by dividing operating
Q131: Which type of supporting schedule is designed
Q132: All evidence must have the same level
Q134: Which ratio do auditors find useful for
Q135: Supporting schedules<br>A) must be prepared by the
Q136: A benefit obtained from using industry averages
Q137: When determining sufficient and appropriate audit evidence
Q138: The times interest ratio helps the auditor