Auditors Have Several Techniques Available to Them to Test Computer-Processing

question 14

Multiple Choice

Auditors have several techniques available to them to test computer-processing controls.An audit routine that flags suspicious transactions is known as

• A)SCARF.
• B)an audit hook.
• C)an audit sinker.
• D)the snapshot technique.

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Definitions:

Supply Curves

A graphical representation showing the relationship between the price of a good or service and the quantity of it that suppliers are willing to offer at that price.

Real GDP

The measure of a country's economic output adjusted for price changes (inflation or deflation), reflecting the true value of goods and services produced.

Supply Curves

A graphical representation that shows the relationship between the price of a good or service and the quantity that suppliers are willing to offer for sale at that price, over a given period.

Invisible Hand

A term coined by Adam Smith to describe the self-regulating nature of the marketplace where individuals pursuing their own self-interest lead to the benefit of society at large.