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Which of the Following Is a True Statement About an Auditor's

Question 54

Multiple Choice

Which of the following is a true statement about an auditor's evaluation of an accounting system?


A) If a company has a haphazard accounting system then the auditor has greater confidence that the financial statements are reliable.
B) If a company has an efficient and orderly accounting system then the auditor has greater confidence that the financial statements are reliable.
C) If a company has an efficient and orderly accounting system then the auditor must do more detailed work to verify that the financial statements are reliable.
D) None of these are correct.

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