During which part of an audit examination is the preparation of flowcharts most appropriate?
A) when performing tests of controls
B) when documenting the auditor's understanding of internal control
C) when evaluating the system of internal administrative control
D) when performing preliminary analytical procedures

Question

Quizplus · Accepted Answer

The preparation of flowcharts is most appropriate when documenting the auditor's understanding of internal control. Flowcharts can help auditors identify potential control weaknesses and understand how different processes within a company's internal control system work together. Flowcharts are not typically used during tests of controls, evaluating the system of internal administrative control, or performing preliminary analytical procedures.

During Which Part of an Audit Examination Is the Preparation