Which of the following relationships between types of tests and audit evidence is not correct?
A) Tests of controls and observation.
B) Tests of details and inspection.
C) Substantive tests of transactions and reperformance.
D) Tests of details and observation.

Question

Quizplus · Accepted Answer

Tests of details primarily involve inspection of records or documents and physical examination of assets, not observation. Observation is more commonly associated with tests of controls, where the auditor observes the client's processes or procedures being performed.

Which of the Following Relationships Between Types of Tests and Audit