Which of the Following Statements Is NOT True? the Evidence-Gathering

question 39

Multiple Choice

Which of the following statements is NOT true? The evidence-gathering technique of inquiry:

• A) is the auditor's principal method of evaluating the client's internal control.
• B) cannot be regarded as conclusive.
• C) does not provide evidence from an independent source.
• D) requires the gathering of corroborative evidence.

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Definitions:

Exchange Rates

The value of one currency for the purpose of conversion to another, determining how much one country's currency is worth in another country's currency.

Two-Transaction Perspective

An approach in accounting that views a transaction involving foreign currencies as two separate events: one for the initial transaction and another for the currency exchange.

Government-Wide Financial Statements

Comprehensive financial reports presenting the financial condition and results of operations for all activities of a government entity.

Governmental Fund Financial Statements

Governmental fund financial statements provide detailed information about the financial activities of governmental funds, including resources allocated to governmental functions and services.