Related Entity Transactions Can Most Often Be Discovered by Auditors

question 42

Multiple Choice

Related entity transactions can most often be discovered by auditors while performing which of the following procedures?

• A)confirming transactions with related parties.
• B)examining unusual transactions and inquiry.
• C)reviewing random canceled checks for endorsement.
• D)evaluating reconciliations and related approvals.

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Definitions:

Storming

A phase in team development where conflicts and competition emerge as team members express their individual perspectives and challenge the group's ideas.

Reporter

A person who investigates and reports on news stories for newspapers, magazines, television, or radio.

Submission

in a professional or academic context, refers to the act of presenting a document, proposal, or piece of work for review or consideration.

Records

Documented information or data that is collected and maintained as evidence of activities, transactions, or decisions.