Which of the Following Is Not True About Auditing Stockholders

question 45

Multiple Choice

Which of the following is not true about auditing stockholders' equity transactions?

• A)The auditor usually uses a substantive approach.
• B)The number of equity transactions with outside parties is usually small.
• C)The dollar amount is usually immaterial.
• D)An approach using only tests of details is most commonly used to audit equity accounts.

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