Audit Data Analytics Can Be Used _______

question 89

Multiple Choice

Audit data analytics can be used _______.

• A)only at the beginning of the audit
• B)at virtually any phase of the audit
• C)only at the end of the audit
• D)by the internal audit function only

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Definitions:

Zero Economic Profit

A situation where total revenues are exactly equal to total costs, indicating no supernormal profit beyond the normal rate of return.

Marginal Cost

The increase in total production cost that comes from making or producing one additional unit of a good.

Excess Capacity

A scenario where a firm's actual production is less than its maximum potential output, often leading to inefficiencies and higher costs.

Monopolistically Competitive

Describes a market structure where many firms sell products that are similar but not identical, allowing for competition based on factors other than just price, such as brand and quality.