Identify where the analytical techniques cannot be implemented by the individuals building teams.
Answer to Problem 1MCQ
Option c.
Explanation of Solution
Under the guidance of the chief audit executive (CAE) or another manager, these individuals build teams to develop and implement analytical techniques to aid the following audits:
- Process efficiency and effectiveness.
- Governance, risk, and compliance, including internal controls effectiveness.
- Information technology and information systems audits.
- Forensic audits in the case of fraud.
- Support for the financial statement audit.
Justification for correct and incorrect answer:
a.
This is not the correct choice as these individuals build teams to develop and implement analytical techniques to aid all of the following audits except tax compliance.
b.
This option is an incorrect option because all these factors are included in the audits which are aided by the individuals who build teams to develop and implement analytical techniques.
c.
Under the guidance of the Chief Audit Executive (CAE) or another manager, these individuals build teams to develop and implement analytical techniques to aid all of the following audits except tax compliance. Thus, this option is correct.
d.
This is an incorrect option because these individuals build teams to develop and implement analytical techniques to aid all of the following audits except tax compliance and support for the financial statement audit.
Want to see more full solutions like this?
Chapter 5 Solutions
Data Analytics For Accounting
- Need answer of these accounting problemarrow_forwardPlease give me true answer this financial accounting questionarrow_forwardRK Co. sells snowboards. Each snowboard requires direct materials for $140, direct labor for $55, and variable overhead of $64. The company expects fixed overhead costs of $673,000 and fixed selling and administrative costs of $160,000 for the next year. It expects to produce and sell 11,900 snowboards in the next year. What will be the selling price per unit if RK uses a mark-up of 17% of the total cost?arrow_forward
- What amount should watch of the three assets ne recorded?arrow_forwardDuring the month of November, Luffee Company had cash receipts of $5,100 and paid out $1,300 for expenses. The November 30th cash balance was $7,200. What was the cash balance on November 1?arrow_forwardCorrect status of manufacturing overhead at year end?arrow_forward
Auditing: A Risk Based-Approach (MindTap Course L...AccountingISBN:9781337619455Author:Karla M Johnstone, Audrey A. Gramling, Larry E. RittenbergPublisher:Cengage Learning
Auditing: A Risk Based-Approach to Conducting a Q...AccountingISBN:9781305080577Author:Karla M Johnstone, Audrey A. Gramling, Larry E. RittenbergPublisher:South-Western College Pub