Daniel Morency has performed evaluations of financial information and determined whether the fluctuations of his client's sales figures are consistent with other data he has gathered. He
Has used this information to predict year-end amounts of sales. This is an example of
Substantive procedures called
A) tests of details.
B) computer assisted audit techniques.
C) analytical procedures.
D) none of these.

Question

Quizplus · Accepted Answer

The scenario described is that of performing analytical procedures, which involve analyzing financial data to identify any unusual fluctuations or relationships between different accounts. This can help auditors gain a better understanding of the client's financial position and identify areas that may require further investigation. Tests of details involve examining individual transactions or account balances in detail, while computer assisted audit techniques involve using specialized software to perform tasks such as data analysis or transaction testing.

Daniel Morency Has Performed Evaluations of Financial Information and Determined