An Indicator That the Auditor Might Need to Adopt Extended

question 56

Multiple Choice

An indicator that the auditor might need to adopt extended audit procedures would be best evidenced by __________.

• A)an unusual fluctuation in gross profit margin last year
• B)net sales is increasing approximately 3% per year
• C)a new competitor has entered the client's industry
• D)the client's current ratio has decreased slightly

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Definitions:

Northwest Territory

A historic region of the United States that encompassed the area northwest of the Ohio River, established as a territory in 1787 and played a key role in westward expansion.

Shawnee

A Native American tribe historically located in the northeastern United States, known for their rich cultural heritage and resistance to displacement by European settlers.

Seizure Of American Ships

describes the act of forcibly taking control of ships from the United States, typically by a foreign naval power.

British Control

The period or situations in history when Britain exerted governance or authority over other territories and colonies around the world through colonialism and imperialism.