Which of the Following Approaches And/or Tools Are Not Typically

question 62

Multiple Choice

Which of the following approaches and/or tools are not typically used as part of a CAAT approach to auditing?

• A)Integrated testing facility (ITF).
• B)Generalized audit software (GAS).
• C)Audit calculation engine (ACE).
• D)Embedded audit module (EAM).

---

Definitions:

Sales Refund Payable

A liability account that holds funds reserved for future refunds to customers for returned goods.

Sales Returns

Goods returned by customers to the seller after the sale, which result in a reduction of revenue previously recognized.

Adjusting Entry

A journal entry made in accounting records at the end of an accounting period to allocate income and expenditure to the correct periods.

Periodic Inventory System

An inventory accounting system where the inventory count is physically conducted at specific intervals, typically at the end of an accounting period.