Assessing the overall reasonableness of transactions and balances is the goal of:
A) management assertions.
B) auditing.
C) analytical procedures.
D) fraud detection.

Question

Quizplus · Accepted Answer

Analytical procedures are used by auditors to evaluate financial information for reasonableness and consistency. This includes analyzing relationships among financial and non-financial data to identify unusual transactions or balances. Management assertions and fraud detection are important components of auditing, but they do not necessarily focus specifically on reasonableness assessment.

Assessing the Overall Reasonableness of Transactions and Balances Is the Goal