In the planning stage, analytical procedures are used to
A)Assess overall reasonableness of the financial statements.
B)Identify potential problem areas.
C)Determine the mathematical correctness of the financial statements.
D)Provide direct evidence about the balances in accounts.

Question

Quizplus · Accepted Answer

Analytical procedures in the planning stage are primarily used to identify potential problem areas by analyzing trends and ratios to highlight unusual transactions or events.

In the Planning Stage, Analytical Procedures Are Used to