Which one of the following circumstances would NOT cause an auditor to extend payroll procedures considerably?
A) There is a possibility of material fraudulent payroll transactions.
B) There is a lack of independent third- party evidence, such as confirmations.
C) Payroll significantly affects inventory valuation.
D) There is a deficient internal control structure.
Correct Answer:
Verified
Q42: Comparing expenses to prior years' expenses is
Q43: The classes of transactions in the acquisition
Q44: From an audit point of view, which
Q45: The accounts payable department usually has responsibility
Q46: When an acquisition is on an FOB
Q48: In connection with the client's physical count
Q49: The most important consideration in evaluating the
Q50: Examining inventory descriptions on tags and comparing
Q51: A file recording payroll transactions for each
Q52: When the client's physical inventory takes place
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