When conducting fieldwork for a physical inventory, an auditor cannot perform which of the following steps using a generalized audit software package?
A) Observing inventory.
B) Selecting sample items of inventory.
C) Analyzing data resulting from inventory.
D) Recalculating balances in inventory reports.

Question

Quizplus · Accepted Answer

A generalized audit software package cannot physically observe inventory, as this requires on-site presence and inspection. The other activities listed can be performed using such software packages.

When Conducting Fieldwork for a Physical Inventory, an Auditor Cannot