Which of the Following Actions Would Be Considered a Violation

question 120

Multiple Choice

Which of the following actions would be considered a violation of the Standards?

• A) Drafts of engagement communications were reviewed with the audit client to obtain input. The client's comments were considered when developing the engagement final communication. II. An auditor participated as part of a development team to review the control procedures to be incorporated into a major computer application under development. III. Given limited resources, the chief audit executive performed a risk analysis to determine which functions to audit.
• B) II only
• C) I and III only
• D) I, II, and III.
• E) None of the above.

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Definitions:

Probability

A measure of the likelihood that an event will occur, often expressed as a number between 0 and 1.

Expected Value

A calculation in probability theory that summarizes the expected return or outcome from a random event or situation.

Payoffs

The outcomes or returns received from an action or investment, often quantified in terms of profit or benefit.

Invest

The act of allocating resources, usually money, in the expectation of generating an income or profit.