Audit Procedures Are Different Than Audit Evidence Because

question 56

Multiple Choice

Audit procedures are different than audit evidence because:

• A) Audit procedures address the competency and sufficiency of audit evidence
• B) Audit procedures are specific acts performed by the auditor to gather evidence about whether specific assertions are being met
• C) Audit procedures are specific acts to assess whether the financial statements "present fairly"
• D) Audit procedures do not have to be determined based on risk assessment

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Definitions:

Activity Variances

Differences between budgeted amounts and actual amounts incurred due to variations in the level of activity or performance.

Activity Measure

A metric used to gauge the amount of activity or volume, often used in the allocation of overhead costs to products based on their consumption of resources.

Customers Served

The number of customers who receive service from a business within a specified period, indicating the reach or impact of the business's operations.

Activity Variances

The difference between the budgeted costs based on standard activity levels and the actual costs incurred, related to specific business activities.