A type of analytical procedure in which auditors use their professional judgment to review accounting data to identify unusual or significant items that may be an indication of a material misstatement ________.
A)is referred to as scanning
B)is known as substantive testing
C)is known as an audit review
D)is no longer allowed under Sarbanes-Oxley.

Question

Quizplus · Accepted Answer

The description matches the process of scanning. Substantive testing is a more specific procedure within the auditing process, and an audit review is a type of engagement performed by a second auditor. Sarbanes-Oxley does not prohibit the use of scanning.

A Type of Analytical Procedure in Which Auditors Use Their