Question
The Auditor has asked that the firm they are auditing has asked for access to their general ledger. Upon receipt of a file, the auditors
The Auditor has asked that the firm they are auditing has asked for access to their general ledger. Upon receipt of a file, the auditors discover that they firm they are auditing uses Excel to manage their bookkeeping. The use of Excel rather than using an accounting software reveals why the trial balance the client provided does not balance. Because the firm does not use an accounting software that assures that every entry posts is a balancing entry, the audit firm is increasing their risk assessment because of the following risk
A. | Accounting Cycle | |
B. | Journal Entry Risk | |
C. | Control and Subsidiary Account Risks | |
D. | Financial Reporting |
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