Which of the Following Is NOT a Procedure That the Auditor

question 41

Multiple Choice

Which of the following is NOT a procedure that the auditor should perform related to the physical inventory count?

• A) Document the first and last tag numbers used.
• B) Take notations of all items that appear to be obsolete or are in questionable condition.
• C) Make counts of all items and record the counts for subsequent tracing into the client's inventory compilation.
• D) Observe whether there is any physical movement of goods during the counting of the inventory.

---

Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.