Which of the Following Procedures Most Likely Would Provide an Auditor

question 19

Multiple Choice

Which of the following procedures most likely would provide an auditor with evidence about whether an entity's internal control is suitably designed to prevent or detect material misstatements?

• A)Scanning the journals produced by the internal control system.
• B)Performing analytical procedures using data aggregated at a high level.
• C)Vouching a sample of transactions directly related to the controls.
• D)Observing the entity's personnel applying the controls.

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Definitions:

Psychological Hardiness

A cluster of traits that buffer stress and are characterized by commitment, challenge, and control.

Self-Efficacy Expectations

The belief in one's capabilities to organize and execute the courses of action required to manage prospective situations.

Coronary-Prone Behavior

describes personality traits and behaviors, such as Type A behavior pattern, that are associated with a higher risk of coronary heart disease.

Type A

A personality type characterized by high levels of competitiveness, self-criticism, time urgency, and a tendency towards stress-related diseases.