When Seeking to Verify How a System Actually Works,rather Than

question 3

Multiple Choice

When seeking to verify how a system actually works,rather than how it should work.The most useful approach is to

• A)conduct interviews.
• B)make observations.
• C)distribute questionnaires.
• D)read system documentation.

---

Definitions:

Deferred Tax Liabilities

Future tax obligations due to temporary differences between the tax basis of an asset or liability and its reported amount in the financial statements.

GAAP

Stands for Generally Accepted Accounting Principles, which are a common set of accounting rules and standards used in the United States for financial reporting.

IFRS

International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) that is gaining global acceptance.

Deferred Taxes

Taxes applicable to income that has been accrued but not yet paid, due to differences between accounting and tax legislation.