Performing Numerical Accuracy Tests for Foreign Currency Translation, Payroll Taxes

question 30

Multiple Choice

Performing numerical accuracy tests for foreign currency translation, payroll taxes, interest on loans outstanding, and depreciation calculations ________.

• A)is the role of the internal audit function
• B)is the responsibility of management
• C)is referred to as recalculation
• D)is unnecessary if the client is assessed as having low control risk

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Definitions:

Null Hypotheses

A statement used in statistical testing that assumes no effect or no difference between groups or variables, serving as the default statement to be tested against.

Alternative Hypotheses

A statement in statistical analysis that proposes a difference or effect, in contrast to the null hypothesis which suggests no effect or relationship.

Error Mean Square

A measure used in statistics to quantify the average of squares of errors or deviations.

Sums of Squared Deviations

The total of the squared differences between each observation in a data set and the mean of that data set, used in various statistical methods to measure variability.