When the Auditor Is Performing Audit Data Analytics (ADA) as a Substantive

question 52

Multiple Choice

When the auditor is performing audit data analytics (ADA) as a substantive test of details of a population of transactions or balances, the auditor will have evaluated _______.

• A)inherent risk
• B)substantive risk
• C)fraud risk
• D)variance risk

Understand the sociological theories explaining the origins and perpetuation of deviance and crime.

Recognize how societal perceptions of harm influence the legal and social response to deviant acts.

Acknowledge the subjective nature of labeling behaviors as deviant or criminal.

Understand the concept and functionality of the secondary market for stocks.

---

Definitions:

Variances

Measures of the dispersion, indicating how spread out the data points are around the mean.

Accounting

The systematic process of recording, summarizing, analyzing, and reporting financial transactions of a business.

Management

The process of planning, organizing, leading, and controlling resources to achieve specific goals and objectives efficiently and effectively.

Standard Deviation

A metric showing the extent of scatter among values in a dataset.