Which of the following is used to obtain evidence that the client's equipment accounts are not understated? A)Analyzing repairs and maintenance expense accounts. B)Vouching purchases of plant and equipment. C)Recomputing depreciation expense. D)Analyzing the miscellaneous revenue account.

Question

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Analyzing repairs and maintenance expense accounts can provide evidence of the amount of maintenance required on the client's equipment, which can then be compared to the amount of equipment recorded in the equipment accounts. If the expense accounts are higher than expected, it may indicate that more equipment is being used than what is recorded in the accounts, suggesting that the accounts are understated. Vouching purchases of plant and equipment and recomputing depreciation expense would not provide specific evidence that the equipment accounts are not understated. Analyzing the miscellaneous revenue account is also not relevant to this objective.

Which of the Following Is Used to Obtain Evidence That