Which of the Following Procedures Is Not a Substantive Procedure

question 7

Multiple Choice

Which of the following procedures is not a substantive procedure used for testing the valuation of long-lived assets?

• A)Assess management's impairment estimates.
• B)Inquire of management about assets that are idle.
• C)Develop an independent estimate of amortization expense.
• D)All of the above are procedures used for testing the valuation assertion.

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Definitions:

Brand Name Drugs

Medications sold under a proprietary, trademarked name, as opposed to their generic equivalents.

Medigap

Private insurance to supplement Medicare benefits for payment of the deductible, co-payment, and coinsurance.

Medicare Benefits

Government-funded health insurance benefits available to eligible individuals, typically those who are 65 or older, or those with certain disabilities.

Coinsurance

A percentage that a patient is responsible for paying for each service after the deductible has been met.