Which audit tests involve physical examination and confirmation?
A) tests of controls
B) tests of transactions
C) tests of balances
D) analytical procedures

Question

Quizplus · Accepted Answer

Tests of balances involve physical examination and confirmation of the client's assets, liabilities, and equity balances to ensure that they are properly stated and exist. Tests of controls involve evaluating internal controls to determine their effectiveness in preventing and detecting errors or fraud. Tests of transactions involve testing individual transactions to ensure that they are recorded accurately and completely. Analytical procedures involve comparing financial information to expected results or industry norms to identify possible errors or irregularities.

Which Audit Tests Involve Physical Examination and Confirmation