The Auditor Normally Considers Both Underlying Accounting Records and Corroborating

question 40

Multiple Choice

The auditor normally considers both underlying accounting records and corroborating information in the audit process.Underlying accounting records do not include which of the following items?

• A)Evidence of controls.
• B)Minutes of meetings.
• C)Checks,invoices,and contracts.
• D)General and subsidiary ledgers.

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Definitions:

Shares

Shares represent units of ownership in a company, held by individuals or entities, entitling them to a portion of the corporation's assets and profits.

Public Markets

Platforms or venues where securities, commodities, and other financial instruments are traded openly and are accessible by the general public.

Authorized Shares

The upper limit of shares a corporation can legally distribute, as outlined in its articles of incorporation.

Shareholders

Individuals or entities that legally own one or more shares of stock in a joint-stock company or corporation.