Which Statement Is Correct Relating to the Count of Inventory

question 14

Multiple Choice

Which statement is correct relating to the count of inventory when a company that specializes in taking such counts ("the company") is involved with counting a client's inventory?

• A)The auditor should consider the company a specialist,and follow the procedures outlined for addressing an auditor's specialist.
• B)The auditor should not consider the counts by the company,by themselves,sufficient appropriate audit evidence.
• C)The auditor must observe all inventory counts taken by the company.
• D)The auditor should observe a letter of representations form the company.

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