An Auditor's Substantive Analytical Procedure Provides the Auditor with an Interest

Multiple Choice

An auditor's substantive analytical procedure provides the auditor with an interest expense amount that is significantly higher than the client's recorded interest expense. This finding would most likely lead the auditor to conclude that:

A) client has not recorded all long-term interest bearing debt in the accounting records.
B) client has not recorded all interest expense paid or accrued.
C) client has not properly accounting for the discount of bonds payable account.
D) client has not properly recorded interest income.