7. Which of the following analyses might an auditor perform as part of preliminary analytical procedures? a. Develop an overall estimate of depreciation expense. b. Compare capital expenditûres with the client's capital budget. c. Perform a trend analysis of the ratio of depreciation expense to total depreciable long-lived tangible assets. d. All of the above could be performed as part of preliminary analytical procedures.
7. Which of the following analyses might an auditor perform as part of preliminary analytical procedures? a. Develop an overall estimate of depreciation expense. b. Compare capital expenditûres with the client's capital budget. c. Perform a trend analysis of the ratio of depreciation expense to total depreciable long-lived tangible assets. d. All of the above could be performed as part of preliminary analytical procedures.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:7. Which of the following analyses might an auditor perform as part of
preliminary analytical procedures?
a. Develop an overall estimate of depreciation expense.
b. Compare capital expenditores with the client's capital budget.
c. Perform a trend analysis of the ratio of depreciation expense to total
depreciable long-lived tangible assets.
d. All of the above could be performed as part of preliminary analytical
procedures.
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