Multiple Choice
Which of the following analytical procedures most likely would be used during the planning stage of an audit?
A) Comparing current-year to prior-year sales volumes.
B) Reading the financial statements and notes and considering the adequacy of evidence.
C) Comparing the current-year ratio of aggregate salaries paid to the number of employees to the prior-year's ratio.
D) Reading the letter from the client's attorney and considering the threat of litigation.
Correct Answer:
Verified
Correct Answer:
Verified
Q57: An auditor's analytical procedures indicate a lower
Q58: While performing an audit of the financial
Q59: Analytical procedures are most appropriate when testing
Q60: Independent auditors who consider fraud in the
Q61: Generally accepted auditing standards states that analytical
Q63: Prior to, or in conjunction with, the
Q64: Inherent risk is the:<br>A)probability that some accounts
Q65: Why is it important for auditors to
Q66: Which of the following accounts tends to
Q67: Analytical procedures are audit methods of evaluating