When an Auditor Observes That Personnel Who Are Responsible for Physically

question 24

Multiple Choice

When an auditor observes that personnel who are responsible for physically counting inventory are not following the inventory instructions, the auditor should

• A) contact a client's supervisor to correct the problem.
• B) modify the client's physical inventory instructions.
• C) not discuss the problem with client's supervisor in order to maintain independence.
• D) assign audit staff to the inventory count.

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Definitions:

Labor Force Discontinuity

Interruptions or gaps in a person's work history, often due to personal reasons, unemployment, or transitions between jobs.

Entrepreneurial Spirit

A mindset characterized by innovation, risk-taking, and the drive to create new businesses or revitalize existing ones.

Career Development

The process of managing one’s work experience, learning, and training throughout life to advance in one’s job or career path.

Career Advancement

The progression through a professional path, including gaining higher positions, responsibilities, and often compensation.