Procedures Used by an Auditor When Conducting a Subsequent Events

question 13

Multiple Choice

Procedures used by an auditor when conducting a subsequent events review include:

• A) assessing continued compliance with borrowing limits and loan covenants.
• B) enquiring of those charged with governance as to whether any subsequent events have occurred that may affect the financial report.
• C) reading minutes of the meetings of the board of directors.
• D) All of the above

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Definitions:

Gestalt Psychologists

Scholars who emphasize understanding the human mind and behavior as a whole, rather than by analyzing its individual components.

Perceived Whole

The concept or process of viewing or understanding something as a complete and unified entity rather than a mere collection of parts.

Sum of Its Parts

A concept or entity that is regarded as more than merely the total of its individual components or elements.

Blindsight

A phenomenon in which people who are perceptually blind in certain areas of their vision actually retain some subconscious visual capabilities.