An Internal Auditor Is Conducting Tests to Determine If an Organization

question 191

Multiple Choice

An internal auditor is conducting tests to determine if an organization is in compliance with its payment approval policies. After reviewing a sample of vouchers selected, the internal auditor concluded that there were indicators of fraud. Which of the following would be the most appropriate method to expand the audit test to achieve the audit objective?

• A) Validate the completeness of the accounts payable files. II. Examine the sample of vouchers in greater detail. III. Increase the number of vouchers in the sample. IV. Broaden the scope of the examination to include credits received by accounts payable.
• B) I and II only
• C) II and III only
• D) I, II, and IV only
• E) I, III, and IV only

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Definitions:

Reticular Formation

A network of neurons in the brainstem involved in consciousness, sleep-wake cycles, and filtering incoming stimuli to discriminate irrelevant background information.

Sodium

Sodium is a chemical element with the symbol Na and atomic number 11, essential for human health in small amounts but often discussed in the context of dietary intake and health effects.

Membrane

A selective barrier that permits the passage of certain substances while blocking others.

Resting Potential

The electrical potential of a neuron when it is not actively transmitting a signal, representing a state of readiness for activation.