Phase II of the Audit Primarily Relies on Which Type/s

question 94

Multiple Choice

Phase II of the audit primarily relies on which type/s of audit evidence?

• A) Analytical procedures
• B) Physical examination
• C) Documentation
• D) All of the above

---

Definitions:

Marginal Cost

The increase in total production cost that arises from producing one additional unit of a product or service.

Pure Monopolist

A market situation where a single company or entity exclusively offers a particular product or service, with no close substitutes.

Incremental Sales

Additional sales generated by a company beyond its current sales volume, often as a result of specific marketing actions or promotions.

Economic Profit

The financial gain that exceeds the total costs, including both explicit and implicit costs, involved in a business activity.