Shelfco,Inc.has an inventory report that is approximately 4,000 pages.The audit program requires James Morris,the staff auditor,to test the report for accuracy.What is the most efficient and effective means for James to perform the procedure?
A)Ask the client to foot and extend the report and return the results of the test to the auditor for concluding.
B)Foot and extend every 100th page and extrapolate the results of footing to the total of the report.
C)Obtain an electronic copy of the file and use generalized audit software in footing and extending.
D)Skip the procedure as the cost of footing and extending exceeds the benefit derived from the audit test.

Question

Quizplus · Accepted Answer

Obtaining an electronic copy of the file and using generalized audit software in footing and extending would be the most efficient and effective means for James to perform the procedure. This would save a significant amount of time and effort compared to manually footing and extending the entire 4,000-page report. Additionally, using audit software would increase the accuracy of the test results.