Which of the Following Statements Is Correct

question 1

Multiple Choice

Which of the following statements is correct?

• A)In compliance audits, an error is considered material if it results in a misstatement in the financial report of more than 10 per cent of net profit.
• B)In compliance audits, control deviations are considered material if the control has not been followed in more than 10 per cent of sample transactions.
• C)In compliance audits, materiality should be determined by reference to the users of the auditor's report and their information needs.
• D)Compliance audits are concerned only with deviations from legislation.

---

Definitions:

Group Effort

Collaborative work done by multiple individuals aiming to achieve a common goal or complete a task.

Creative

The use of imagination or original ideas to create something; inventiveness.

Nonverbal Communication

The process of conveying a message without the use of words, through gestures, facial expressions, and body language.

Touching Behaviour

Actions or conduct that evoke sympathy or emotional connection, often because of genuine kindness or empathy.