During the course of an audit,a CPA's substantive analytical procedure provides an expected interest expense that is significantly higher than the amount recorded in the client's accounting records.This observation would most likely lead the auditor to suspect that

Question

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If the expected interest expense is significantly higher than the amount recorded in the client's accounting records during an audit, it would most likely lead the auditor to suspect that the client failed to record all interest expense. Therefore, option D is the most appropriate choice. It indicates that some interest expense has been omitted or not recorded by the client. The auditor needs to investigate further to determine the extent of the omission and evaluate whether it is material to the financial statements.

During the Course of an Audit,a CPA's Substantive Analytical Procedure