Reference no: EM132671588

Problem 1) The auditor undertakes procedures to obtain an understanding of a client's internal control-

a) When no mitigating controls are likely

b) On every audit engagement

c) When business risk is high

d) Only on large clients

Problem 2) Which of the following is a characteristic of interest when using sampling while undertaking tests of controls?

a) A deviation from an internal control procedure

b) The minutes of board of directors meetings

c) The dollar amount of sales transactions

d) An unusual balance identified by advanced data analytics

Problem 3) Which of the following is a sampling procedure?

a) Applying advanced data analytics to the population

b) Selecting all accounts grater than $20,000.

c) Selecting every ninth inventory item for further testing

d) Reviewing the minutes of board of directors meetings