All of the Following Are Advantages of the Test Data

question 26

Multiple Choice

All of the following are advantages of the test data technique except

• A)auditors need minimal computer expertise to use this method
• B)this method causes minimal disruption to the firm's operations
• C)the test data is easily compiled
• D)the auditor obtains explicit evidence concerning application functions

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Definitions:

Right To Recourse

The right to recourse refers to the legal ability to seek compensation or redress from a party that has failed to fulfill their contractual obligations.

Reimbursement

The act of compensating someone for an expense or loss incurred, often seen in business, insurance, and employment contexts.

Negotiable Instrument

A transferable, signed document that promises to pay the bearer or named party a certain sum of money either on demand or at a specified future date.

Drawer

In the context of financial instruments, the entity that writes or issues a check or draft.