Which of the following statements is correct concerning analytical procedures used in planning an audit engagement? a.
Question:
Which of the following statements is correct concerning analytical procedures used in planning an audit engagement?
a. They often replace the tests of controls that are performed to assess control risk.
b. They typically use financial and nonfinancial data aggregated at a high level.
c. They usually involve the comparison of assertions developed by management to ratios calculated by an auditor.
d. They are often used to develop an auditor’s preliminary judgment about materiality.
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a Incorrect The completion of preliminary analytical procedures is focused on the financial state...View the full answer
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Related Book For
Auditing and Assurance Services
ISBN: 978-0077862343
6th edition
Authors: Timothy Louwers, Robert Ramsay, David Sinason, Jerry Straws
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