Assume That Application of Analytical Procedures Revealed Significant Unexplained Differences

question 11

Multiple Choice

Assume that application of analytical procedures revealed significant unexplained differences between recorded amounts and the auditor's expectations.If management is unable to provide an acceptable explanation, the auditor should

• A)Consider the matter a scope limitation.
• B)Perform additional audit procedures to investigate the matter further.
• C)Intensify the audit with the expectation of detecting management fraud.
• D)Withdraw from the engagement.

---

Definitions:

Fontanelles

Soft spots on a baby's skull where the bones have not yet fused together, allowing for growth of the brain and skull.

First-Born

Refers to the child born first to a set of parents, leading to unique developmental and familial impacts.

Prepared Childbirth

An approach to childbirth that involves education and preparation to reduce fear and anxiety through knowledge and rehearsal of childbirth techniques.

Hypnotic State

A state of consciousness involving focused attention, reduced peripheral awareness, and an enhanced capacity for response to suggestion.