The Analytical Procedure That Requires the Auditor to Review the List

question 102

Multiple Choice

The analytical procedure that requires the auditor to review the list of accounts payable for unusual or non-vendor payables would have the best chance of discovering which possible error?

• A) classification error for non-trade liabilities
• B) invalid accounts or misstatements
• C) unrecorded accounts or misstatements
• D) misstatement of accounts payable and expenses

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Definitions:

Federal Trade Commission

A federal agency responsible for protecting consumers and maintaining competition in the marketplace by preventing anticompetitive, deceptive, and unfair business practices.

Procedural Rules

Regulations that outline the process by which courts hear and determine what happens in civil lawsuit, criminal or administrative proceedings.

APA

Administrative Procedure Act, a federal statute that governs how administrative agencies of the United States may propose and establish regulations.

Legislative Rules

Regulations established by a legislative body to guide the implementation and enforcement of laws.