An Audit Conducted in Accordance with Generally Accepted Auditing Standards

question 4

Multiple Choice

An audit conducted in accordance with generally accepted auditing standards includes each of the following except:

• A)examination, on a test basis, of evidence supporting the amounts and disclosures in the financial statements.
• B)evaluation of the efficiency and effectiveness of management.
• C)assessment of the accounting principles used and significant estimates made by management.
• D)planning and performance of the audit to obtain reasonable assurance that the financial statements are free of material misstatements.

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Definitions:

Cold KMnO

Potassium permanganate used in cold conditions, often in solution, for mild oxidizing reactions.

mCPBA

Meta-chloroperoxybenzoic acid, a reagent used in organic chemistry for the oxidation of alkenes to epoxides and the oxidation of ketones to esters.

DMD

Duchenne Muscular Dystrophy, a genetic disorder characterized by progressive muscle degeneration and weakness.

Sulfonium Salts

Ionic compounds containing a positive sulfonium ion (R3S+), where R represents an organic group.