A post-completion audit of investment projects is important because:
A)wasted expenditure may be avoided if internal control systems are in place.
B)approval of an investment proposal is required before expenditure can take place.
C)accountants need to understand the capital expenditure process when auditing it.
D)it provides valuable information to enable implementation of improvements in the project's operating performance.

Question

Quizplus · Accepted Answer

A post-completion audit provides valuable information about the project's operating performance, which can be used to implement improvements. This is important because it allows companies to learn from their mistakes and improve their investment decision-making processes in the future. Options A, B, and C are not as relevant to the importance of a post-completion audit.

A Post-Completion Audit of Investment Projects Is Important Because