Which of the Following Procedures Would an Auditor Most Likely

question 46

Multiple Choice

Which of the following procedures would an auditor most likely perform in planning a financial statement audit?

• A)Inquiring of the client's legal counsel concerning pending litigation.
• B)Comparing the financial statements to anticipated results.
• C)Examining computer-generated exception reports to verify the effectiveness of internal controls.
• D)Searching for unauthorized transactions that may aid in detecting unrecorded liabilities.

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Definitions:

Identical Twins

Siblings who develop from the same fertilized egg, resulting in genetically identical individuals.

Fraternal Twins

are twins that develop from two different eggs fertilized by two different sperm, making them genetically similar as ordinary siblings.

Temperament

A person’s characteristic emotional reactivity and intensity.

Heritable Personality Traits

Personality characteristics that are influenced by genetic factors and can be passed from parents to offspring.