An Analytical Procedure Related to the Substantive Testing of Cash

question 64

Multiple Choice

An analytical procedure related to the substantive testing of cash balances would be to _______.

• A)calculate cash as a percent of total assets and compare with auditor expectations
• B)calculate cash as a percent of total assets and compare with internal auditor expectations
• C)send notes payable confirmations to creditors
• D)send confirmations to the client firm's stockholders

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Definitions:

Minnesota Multiphasic Personality Inventory (MMPI-2)

A widely used psychometric test for assessing personality traits and psychopathology.

Projective Test

A type of personality test designed to let a person respond to ambiguous stimuli, ideally revealing hidden emotions and internal conflicts.

Psychological Terms

Vocabulary used to describe concepts, processes, and disorders related to individual and collective human behavior and mental processes.

Objective Test

A type of assessment where responses are limited to specific answers, such as multiple-choice, true/false, or matching, aiming for minimal interpretation by scorers.