In deciding upon the type of evidence to be gathered in support of a given item on

Question:

In deciding upon the type of evidence to be gathered in support of a given item on the financial statements, the auditors should not be influenced by the differences in cost of obtaining alternative forms of evidence.” Do you agree? Explain.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Principles of Auditing and Other Assurance Services

ISBN: 978-0078025617

19th edition

Authors: Ray Whittington, Kurt Pany

See More Books

Question Posted: Oct 25, 2014 05:51 AM

See More Questions

Do you agree with Daniel Alanis that auditors are not entitled to make "honest mistakes"? Defend your answer.
Do you agree or disagree that project organizational forms encourage peer-to-peer communications and dynamic problem-solving?
In obtaining evidence in support of financial statement assertions, the auditor develops specific audit procedures to access those assertions. Required: Alls Fair Appliance Company is an appliance...
A trainee in a medical lab will be released to work on her own when her results agree with those of an experienced worker at the 95% confidence level. Results for a blood urea nitrogen analysis are...
In the hydraulic arrangement shown, the larger piston has an area that is 50 times that of the smaller piston. The strong man hopes to exert enough force on the large piston to raise the 10 kg that...
Barton Inc. changed the method of calculating depreciation on its equipment from straight-line to doubledeclining- balance during 2017. The cumulative effect of the change is an additional expense of...
C2.1. Changes in shareholders' equityare determined by totalearnings minusnetpayout to shareholders, butthe change in shareholders' equityis not equal to net income (in the income statement) minus...
Its well established, well assume, that lab rats require an average of 32 trials in a complex water maze before reaching a learning criterion of three consecutive errorless trials. To determine...
Gomez, Inc. sells machinery and equipment to warehouses. Most sales are on account. On April 1, 2017, the company has a debit balance of $220,000 in accounts receivable and a credit balance of...
Orange Inc. offers a discount on an extended warranty on its oPhone when the warranty is purchased at the time the oPhone is purchased. The warranty normally has a price of $150, but Orange offers it...
What are the major purposes of obtaining representation letters from audit clients?
When auditing a clients asset that is valued at fair value, would the auditors expect that asset to be valued at the price to purchase the asset as of the measurement date, or the price that would be...
For 2015, Benjamin Inc. computed its annual postretirement expense as 240,900. Benjamins contribution to the plan during 2015 was 160,000. Prepare Benjamins 2015 entry to record postretirement...
Problem 2-26 (Static) Complete the balance sheet using cash flow data LO 2-2, 2-3, 2-5, 2-6 Following is a partially completed balance sheet for Epsico Incorporated at December 31, 2022, together...
Consider the following potential events that might have occurred to Global Conglomerate on December30, 2018. For eachone, indicate which line items inGlobal's balance sheet would be affected and by...
An epidemiologist plans to conduct a survey to estimate the percentage of women who give birth. How many women must be surveyed in order to be 95% confident that the estimated percentage is in error...
Jamonit Ltd is a non-group employer which paid wages of $136,000 in the Northern Territory during March 2021. The company does not pay wages in any other state. Calculate the payroll tax payable in...
Following is a partially completed balance sheet for Epsico Inc. at December 31, 2019, together with comparative data for the year ended December 31, 2018. From the statement of cash flows for the...
Contact ten local law firms, five large and five small, and find out: a. if their paralegals have business cards; b. if their paralegals are listed on the law firm letterhead; c. if their paralegals...
Software Solution is family-owned business that has been in operation for more than 15 year. The board of directors is comprised of mainly family members, plus a few professionals such as an...
A. Identify a topic for a presentation. B. Write a positioning statement. C. Write a preview statement.
In understanding the accounting system in the revenue process, the auditor typically performs a walkthrough to gain knowledge of the system. What knowledge should the auditor try to obtain about the...
What are the two major controls for sales returns and allowances transactions?
List four analytical procedures that can be used to test revenue- related accounts. What potential misstatements are indicated by each of these analytical procedures?
en.w s 107.712 87.040 87,136 23.936 Prapaid expenses 29.376 $413.440 s 5,440 100.096 92.480 $108.800
Bond A is a premium coupon bond with 20 years to maturity. Bond B is a discount coupon bond with 20 years to maturity. If interest rates remain unchanged, what direction do you expect the price of...
The valuation principle of fair value accounting applied to investments classified as available for sale securities:

In deciding upon the type of evidence to be gathered in support of a given item on

Question:

Step by Step Answer:

The statement is false The auditors as much as business executiv...View the full answer

Principles of Auditing and Other Assurance Services

Students also viewed these Auditing questions