When Auditors Must Decide Which Type of Test to Select

Multiple Choice

When auditors must decide which type of test to select for obtaining sufficient appropriate evidence, the cost of obtaining the evidence is an important consideration. Rank the following types of tests in order of increasing cost: 1. Tests of controls
2) Substantive tests of transactions
3) Test of details of balances
4) Risk assessment procedures
5) Substantive analytical procedures

A) 1, 2, 3, 4, and 5
B) 2, 4, 3, 5, and 1
C) 5, 4, 1, 2, and 3
D) 5, 4, 3, 2, and 1