When Planning the Audit, If the Auditor Has No Reason

question 65

Multiple Choice

When planning the audit, if the auditor has no reason to believe that illegal acts exist, the auditor should:

• A)include audit procedures which have a strong probability of detecting illegal acts.
• B)still include some audit procedures designed specifically to uncover illegalities.
• C)ignore the issue.
• D)make inquiries of management regarding their policies for detecting and preventing illegal acts and regarding their knowledge of violations, and then rely on normal audit procedures to detect errors, irregularities, and illegalities.

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Definitions:

Cuticle

A protective, often waxy or tough outer layer of many organisms, such as plants and insects, serving as a barrier against environmental damage.

Retention

The ability to hold, store, or retain an object, substance, or memory within a system or organism.

Water

A transparent, tasteless, odorless, and nearly colorless chemical substance that is essential for most forms of life and is known chemically as H2O.

Flagellated Sperm

Sperm cells equipped with a flagellum, allowing for motility in fluid environments, commonly found in many plants and some animals.