During the Initial Planning Phase of an Audit,a CPA Most

question 91

Multiple Choice

During the initial planning phase of an audit,a CPA most likely would

• A) Test specific internal control activities that are likely to prevent fraud.
• B) Evaluate the reasonableness of the client's accounting estimates of inventory obsolescence.
• C) Discuss the timing of the audit procedures with the client's management.
• D) Inquire of the client's attorney as to whether any unrecorded claims are probable of assertion.

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Definitions:

Economic Terms

Language and vocabulary that pertain to the discipline of economics, dealing with the production, distribution, and consumption of goods and services.

Political Terms

Specific terminology used within the context of politics to describe processes, ideologies, structures, and roles.

Ingroup Favoritism

A psychological pattern where individuals prefer and favor members of their own group over those from different groups.

Prejudiced

Prejudiced refers to having preconceived opinions or judgements about something or someone, often involving negative and unfounded attitudes towards different races, genders, or other social groups.