If the Auditor Obtains Sufficient Competent Evidence on the Client's

question 65

Multiple Choice

If the auditor obtains sufficient competent evidence on the client's accounts receivable balance by alternative procedures because it is impractical to confirm accounts receivable,the auditor's opinion should be unqualified and could be expected to

• A)disclose the fact that alternative procedures were used due to client-imposed scope limitation.
• B)disclose in the opinion paragraph that confirmation of accounts receivable was impracticable.
• C)avoid mentioning the alternative procedures.
• D)include an explanatory paragraph that discloses the performance of alternative procedures.

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Definitions:

Twin Countershaft Transmission

A twin countershaft transmission is a type of gearbox found in heavy-duty vehicles, featuring two parallel shafts that allow for more efficient torque distribution and gear ratios.

Input Shaft

The shaft that transfers power from an external source (like an engine) into a gearbox or transmission to be distributed to the machinery.

Shift Bar Housing

The manifold on top of a standard transmission that houses the shift rails, usually three, to which shift yokes are connected; the shift tower assembly mounts on top of the shift bar housing. Also known as shift rail housing.

Range Shifts

Actions or processes involving the change of gear ranges in transmissions, allowing vehicles to operate efficiently across different speeds and terrains.