The Reliability (Competence) of Evidence Gathered by Auditors Is a __________

question 65

Multiple Choice

The reliability (competence) of evidence gathered by auditors is a __________. The reliability of evidence is a key factor in the audit analysis. Relevance is also a key factor in determining the quality of evidence.

• A) Fixed term
• B) Variable
• C) Determinant
• D) Subjective philosophy

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Definitions:

Stock Dividend

A dividend payment made in the form of additional shares rather than cash, reflecting a company's desire to reinvest its profits.

Outstanding Shares

The total number of shares of stock that are currently owned by investors, including restricted shares owned by the company’s officers and insiders.

Distribution

The process of delivering products from the production or service facility to the end user, including storage, transportation, and logistics.

Stock Split

A corporate action in which a company divides its existing shares into multiple shares to boost the liquidity of the shares.