Analytical procedures are so important that they are required during the
A) planning and test of control phases.
B) planning and completion phases.
C) test of control and completion phases.
D) planning, test of control, and completion phases.

Question

Quizplus · Accepted Answer

Analytical procedures are required during the planning phase to help understand the entity and its environment, including its internal control, and to identify areas of potential risk. They are also required during the completion phase to assist in the overall review of the financial statements. These procedures are not mandated during the test of control phase, although they may be used at the auditor's discretion.

Analytical Procedures Are So Important That They Are Required During