A procedure designed to test for dollar errors or irregularities directly affecting the correctness of financial statement balances is a(n)
A)substantive test.
B)analytical test.
C)test of controls.
D)definition of dollar-unit sampling.

Question

Quizplus · Accepted Answer

Substantive tests are designed to detect material misstatements in the financial statements. Testing for dollar errors or irregularities directly affecting the correctness of financial statement balances is a type of substantive test known as a substantive analytical procedure.

A Procedure Designed to Test for Dollar Errors or Irregularities