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When Evaluating Whether Accounting Estimates Made by Management Are Reasonable,the

Question 107

Multiple Choice

When evaluating whether accounting estimates made by management are reasonable,the audit team would be most interested in which of the following?


A) Key factors that are consistent with prior periods.
B) Assumptions that are similar to industry guidelines.
C) Measurements that are objective and not susceptible to bias.
D) Evidence of a conservative systematic bias.

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