Which of the Following Actions Is the Most Likely First

question 43

Multiple Choice

Which of the following actions is the most likely first step that an auditor will perform after accepting an initial audit engagement?

• A)Prepare a rough draft of the financial report and the auditor's report.
• B)Assess control risk for the assertions embodied in the financial report.
• C)Tour the client's facilities and review the general records.
• D)Consult with and review the work of the previous auditor prior to discussing the engagement with the client management.

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Definitions:

Organizational Goals

The objectives a company aims to achieve, which guide its operational activities and strategic planning.

Undesirable Power

Influence or control that is used negatively, causing harm or coercion without regard for ethical standards or consent.

Person-To-Person

Direct interaction or communication between individuals without intermediaries.

Communicate

The act of transferring information from one place, person, or group to another, effectively sharing ideas, feelings, or instructions.