Which of the Following Is Not a Reason for an Internal

question 175

Multiple Choice

Which of the following is not a reason for an internal auditor to prepare an audit plan before the detailed audit work begins?

• A) The objectives of the audit should be set.
• B) The organization's management should be informed about the work to be performed.
• C) Attention should be devoted toward the key audit areas.
• D) The timing of the audit should be set.

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Definitions:

Optimal Consumption

The combination of goods and services that maximizes an individual's utility given their budget constraints.

Indifference Curve

A graph showing different bundles of goods between which a consumer is indifferent, that is, the consumer has no preference for one combination over another.

Price Decrease

A reduction in the price of a good or service, which can lead to an increase in quantity demanded by consumers according to the law of demand.

Indifference Curves

Graphical representations used in microeconomics to show different combinations of two goods or services among which a consumer is indifferent, indicating the same level of satisfaction or utility for each combination.