Which of the Following Courses of Action Would an Auditor

question 6

Multiple Choice

Which of the following courses of action would an auditor most likely follow in planning a sample of cash disbursements if the auditor is aware of several unusually large cash disbursements?

• A)Set the tolerable misstatement at a lower level than originally planned.
• B)Stratify the cash disbursements population so that the unusually large disbursements are selected.
• C)Increase the sample size to reduce the effect of the unusually large disbursements.
• D)Continue to draw new samples until all the unusually large disbursements appear in the sample.

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Definitions:

Corpus Callosum

A thick bundle of nerve fibers that connects the cerebral hemispheres.

Lateral Sulcus

A prominent feature of the human brain's cerebral cortex, which separates the temporal lobe from the frontal and parietal lobes.

Gyrus

A ridge on the surface of the brain, characterized by its folds; the plural form is gyri, and these structures increase the brain's surface area and cognitive ability.

Visual Reflexes

Involuntary responses to visual stimuli, such as blinking or pupil contraction.