Frontenac Construction,your Audit Client,is a Construction Company

question 46

Multiple Choice

Frontenac Construction,your audit client,is a construction company.In the initial planning phase of the audit,you identified that it has many contracts with severe non-performance clauses if any of the current constructions are not completed on the dates set in the contracts over the next three years.As the auditor,you would set the inherent risk for sales and penalties as

• A)high.
• B)moderate.
• C)low.
• D)unknown: this cannot be determined until more procedures are performed.

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Definitions:

Interviewing Mistake

Errors made during the job interview process, which could negatively affect the assessment of a candidate or the candidate's perception of the employer.

Personal Biases

Individual prejudices or preconceived notions that influence one’s judgment or decision-making process.

Overpreparing

The act of preparing more thoroughly or in greater detail than necessary, often at the expense of flexibility or spontaneity.

Not Listening

The act of ignoring or failing to pay attention to information, instructions, or feedback, often leading to misunderstandings or mistakes.