From Which of the Following Evidence-Gathering Audit Procedures Would an Auditor

question 106

Multiple Choice

From which of the following evidence-gathering audit procedures would an auditor obtain most assurance concerning the existence of inventories?

• A) observation of physical inventory counts
• B) written inventory representations from management
• C) confirmation of inventories in a public warehouse
• D) auditor's recomputation of inventory extensions

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Definitions:

State-Dependent Retrieval

The phenomenon where information learned in a particular state of mind is more easily recalled when in that same state.

Biological State

A term referring to the condition or status of an organism's functioning at the biological level, encompassing aspects like metabolism, hormone levels, and overall health.

Encoded

The process of converting information into a particular form for efficient communication, storage, or processing.

Short-Term Memory

A capacity for holding a small amount of information in mind in an active, readily available state for a short period of time.