Which of the Following Is Not an Audit Objective of a Commodity

question 162

Multiple Choice

Which of the following is not an audit objective of a commodity department?

• A) All customer accounts are opened and maintained in accordance with the rules and regulations commodity futures trading commission (CFTC) and the various commodity Exchanges
• B) Adequate control exist to ensure the accuracy and propriety of information contained in regulatory reports, such as the commodity futures trading commission form 1-FR, and the focus report
• C) Verify the accuracy and reporting (inventory reports, fail reports, again reports and profit and loss reports.)
• D) None of these

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Definitions:

Expected

A term often used in statistics and probability, referring to the predicted outcome or value in an experiment or random event.

Observed

Observed, in statistics, refers to the actual data or values collected from experiments or studies, as opposed to expected or theoretical values.

Chi-square Value

A statistic used to measure the differences between observed and expected frequencies in categorical datasets, testing for independence or goodness of fit.

Observed

Refers to measured or witnessed information and data gathered through experimentation or research.