The review phase of the transaction flow in the acquisition and expenditure cycle does not include
A) Interviews.
B) Observations.
C) Collecting sample documents.
D) Substantive procedures.

Question

Quizplus · Accepted Answer

The review phase of the transaction flow in the acquisition and expenditure cycle includes interviews, observations, and collecting sample documents. However, it does not include substantive procedures, which are performed during the testing phase of the audit process to obtain evidence about the completeness, accuracy, validity, and presentation of the financial statements.

The Review Phase of the Transaction Flow in the Acquisition