An auditor wishes to perform tests of controls on a client's cash disbursements procedures.If the control activities leave no audit trail of documentary evidence,the auditor most likely will test the procedures by
A) Inquiry and analytical procedures.
B) Confirmation and observation.
C) Observation and inquiry.
D) Analytical procedures and confirmation.

Question

Quizplus · Accepted Answer

Observation and inquiry are suitable methods for testing controls when there is no documentary evidence, as they allow the auditor to witness the procedures and ask questions to understand the process.

An Auditor Wishes to Perform Tests of Controls on a Client's