When Analytical Procedures Reveal Unusual Fluctuations in an Account Balance

question 89

True/False

When analytical procedures reveal unusual fluctuations in an account balance, the auditor will probably perform fewer tests of details for that account and increase the tests of controls related to the account.

---

Definitions:

Informational Constraint

Limitations or restrictions on the availability or flow of information.

Adequate Size

Refers to dimensions that are sufficient for a specific purpose or need.

Elements Of Argument

The basic components of logical reasoning, including claims, evidence, and reasoning, used to persuade or explain a position.

Claim

A statement made about something, often without evidence, that asserts it is true.