Which of the Following Is Not a Technique That Auditors

question 74

Multiple Choice

Which of the following is not a technique that auditors can use when performing preliminary analytical procedures related to long-lived assets?

• A) Perform an overall estimate of depreciation expense.
• B) Review and analyze gains/losses on disposals of equipment.
• C) Compare depreciable lives used by the client for various asset categories with those of the industry.
• D) All the above are techniques that auditors can use.

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Definitions:

Dollar Stability

Refers to the consistency and steadiness in the value of the United States dollar in international and domestic markets.

Medium Of Exchange

An intermediary instrument used to facilitate the sale, purchase, or trade of goods between parties.

International Transactions

Cross-border exchanges between entities involving goods, services, or financial assets, which affect a country's economic activity.

Revenues

The complete earnings obtained from transactions involving goods or services central to an organization's primary business.