Enquiry Involves the Auditor

question 36

Multiple Choice

Enquiry involves the auditor:

• A) using questioning skills to determine how the control is completed and whether it appears to have been carried out properly and on a timely basis.
• B) re-performing the control to test its effectiveness.
• C) the auditor observing the actual control being performed.
• D) testing the physical evidence to verify that a control has been performed properly.

---

Definitions:

Financial Market

A marketplace where buyers and sellers engage in trading of financial assets such as stocks, bonds, and derivatives.

Bond Market

The bond market is a financial market where participants can issue new debt, known as the primary market, or buy and sell debt securities, known as the secondary market.

Small Business Owners

Individuals who own and operate a business that is smaller in scale compared to larger corporations or enterprises.

Debt Financing

The method of funding a company's operations or expansions by borrowing money, typically through issuing bonds or taking out loans.