In an Integrated Audit,the Amount of Direct Testing of Account

question 2

Multiple Choice

In an integrated audit,the amount of direct testing of account balances is inversely related to

• A)subjectivity of estimates.
• B)riskiness of the account.
• C)effectiveness of internal control.
• D)materiality of the account.

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Definitions:

Software

A set of instructions and data that tell a computer how to perform specific tasks.

UCC

In the United States, the Uniform Commercial Code serves as a full set of rules that direct every commercial transaction.

Merchants

Individuals or enterprises engaged in the wholesale or retail sale of goods or services.

Nonmerchants

Nonmerchants refer to individuals or entities that do not regularly engage in commercial transactions or business practices related to the sale of goods.