Auditing and Assurance Services (16th Edition)
Auditing and Assurance Services (16th Edition)
16th Edition
ISBN: 9780134065823
Author: Alvin A. Arens, Randal J. Elder, Mark S. Beasley, Chris E. Hogan
Publisher: PEARSON
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Chapter 17, Problem 1RQ
To determine

Identify the major difference between audit sampling for tests of controls and substantive tests of transactions and for tests of details of balances.

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Explanation of Solution

In the tests of controls and substantive procedures or tests for transactions, it majorly tests the usefulness of internal control system in an organization. Whereas in tests of details of balances it is concerned with determining whether there are material misstatements in monetary amounts for an account.

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