Once a Related Entity Transaction Is Identified,the Audit Team Will

question 1

Multiple Choice

Once a related entity transaction is identified,the audit team will do which of the following?

• A)ask the client to record the transaction differently.
• B)call a board meeting to discuss the findings.
• C)require that the transaction be excluded from the financial statements.
• D)ensure that the transaction is properly disclosed.

---

Definitions:

Tech Support Department

A function within a company tasked with providing assistance and technical support to users or customers, typically regarding software, hardware, or other electronic or mechanical products.

Time-Driven Activity-Based Costing

A refinement of activity-based costing that assigns costs based on the actual amount of time resources are used on an activity.

Customer Cost Analysis

The process of analyzing all costs related to acquiring, servicing, and retaining a customer, to determine their profitability.

Capacity Analysis

The process of assessing the production capacity needed by an organization to meet changing demands for its products.