Which of the Following Is Not Important Documentation for Substantive

question 29

Multiple Choice

Which of the following is not important documentation for substantive procedures for capital stock and equity transactions?

• A)Confirmations with transfer agent or shareholders.
• B)The client's articles of incorporation.
• C)A summary of the changes in equity accounts.
• D)A memo regarding audit ideas generated during the brainstorming session regarding potential frauds applicable to the capital stock and equity transactions.

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Definitions:

Revenue Centre Manager

A manager responsible for generating income and overseeing the revenue generation activities of a particular business unit, without direct control over costs or investments.

Investment Centre Manager

A role in charge of a business unit that is responsible for its own revenues, expenses, and assets, and is evaluated on its return on investment.

Cost Centre Manager

A manager responsible for a department or unit within a company that does not directly generate profit, focused on minimizing costs.

Narrow Focus

Concentration on a limited scope or a specific aspect of a problem, project, or field, which may restrict broader understanding or solutions.