Review analytical procedures help auditors assess the overall presentation of the financial statements.

Question

Quizplus · Accepted Answer

Analytical procedures are an important component of the audit process as they help auditors to evaluate the overall presentation of the financial statements. These procedures involve the analysis of financial information and relationships between different items in the financial statements, such as trends, ratios, and comparisons with industry standards. The results of analytical procedures can provide the auditor with insights into potential financial reporting risks, areas of potential misstatement, and possible adjustments to the financial statements.

Review Analytical Procedures Help Auditors Assess the Overall Presentation of the Financial