Observation is considered a reliable audit procedure but one that is limited in its usefulness. Which of the following does not represent a limitation of the use of observation as an audit technique?
a. Individuals may act differently when being observed than they do otherwise.
b. It is rarely sufficient to satisfy any assertion other than existence.
c. It can provide an overview of the client’s processing, but that processing may be different than the client’s procedures specify.
d. It is difficult to generalize from one observation as to the correctness of processing throughout the period under audit.