Which of the Following Would Be Considered an Analytical Procedure

question 53

Multiple Choice

Which of the following would be considered an analytical procedure?

• A)Testing purchasing, shipping, and receiving cutoff activities.
• B)Comparing inventory balances to recent sales activities.
• C)Projecting the deviation rate of a statistical sample to the population.
• D)Reconciling physical counts to perpetual records and general ledger balances.

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Definitions:

Straight-Line Rate

A method of calculating the depreciation of an asset, which allocates an equal depreciation expense each year over the asset's useful life.

Double Declining-Balance

A method of accelerated depreciation that doubles the straight-line depreciation rate, allowing for faster asset expense recognition.

Modified Accelerated Cost Recovery

A tax depreciation system in the U.S. that allows for the accelerated depreciation of property under certain conditions.

Longitudinal

Pertains to research or studies that collect data from the same subjects repeatedly over a period of time to observe changes and developments.