Further Possible Misstatement Considers

question 51

Multiple Choice

Further possible misstatement considers

• A) possible presence of management fraud.
• B) possible lack of knowledge of the audit team.
• C) imprecision in the sampling process.
• D) imprecision in the audit procedures.

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Definitions:

Shares

Units of ownership interest in a corporation or financial asset that represent an equal proportion in the distributing of any profits, if any are declared, in the form of dividends.

Capital Gain

Capital Gain is the profit earned from the sale of an asset or investment when the selling price exceeds the purchase price.

Dividends

Payments made by a corporation to its shareholder members, reflecting the earnings of the company distributed among its shareholders.