An auditor's test of transaction processing whereby the auditor is evaluating both the operation and effectiveness of controls and the correctness and completeness of processing and posting to an account balance is:
A)a test of controls.
B)a substantive test.
C)a dual-purpose test.
D)an analytical review procedure.

Question

Quizplus · Accepted Answer

A dual-purpose test is designed to achieve two objectives simultaneously, i.e., to test the effectiveness of controls and to verify the accuracy and completeness of the processing being tested. This type of test is efficient as it serves two purposes.

An Auditor's Test of Transaction Processing Whereby the Auditor Is