Which Statement Is Not True? Embedded Audit Modules

question 59

Multiple Choice

Which statement is not true? Embedded audit modules

• A)can be turned on and off by the auditor
• B)reduce operating efficiency
• C)may lose their viability in an environment where programs are modified frequently
• D)identify transactions to be analyzed using white box tests

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Definitions:

Direct Method

A cash flow statement preparation approach that involves reporting major classes of gross cash receipts and payments.

Operating Cash Flows

Cash generated from the primary activities of a business, including revenue from sales of goods and services.

Presentation Method

The way financial information is displayed and organized in financial statements or reports.

Financing Activities

Activities that result in changes in the size and composition of the contributed equity and borrowings of the entity.