If the Auditor Obtains Sufficient Appropriate Evidence on the Client's

question 65

Multiple Choice

If the auditor obtains sufficient appropriate evidence on the client's accounts receivable balance by alternative procedures because it is impractical to confirm accounts receivable, the auditor's opinion should be unqualified and could be expected to:

• A)disclose the fact that alternative procedures were used due to client-imposed scope limitation.
• B)disclose in the opinion paragraph that confirmation of accounts receivable was impracticable.
• C)avoid mentioning the alternative procedures.
• D)include an explanatory paragraph that discloses the performance of alternative procedures.

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Definitions:

Human Resources

A business department focused on managing employee-related processes such as hiring, training, performance appraisal, and benefits administration.

Mission Statement

A statement outlining the purpose and long-term objectives of the organization.

Human Resource Accounting

A method of measuring the cost and value of people in an organization, aiming to report the financial implications of employing human capital.

Managerial Tool

Instruments, techniques, or methodologies used by managers to improve decision-making, facilitate planning, or enhance productivity.