How would an auditor of a non issuer most appropriately respond to heightened assessed risk of material misstatement?

a. By obtaining a management representation letter
b. By performing analytical procedures, but not substantive procedures, at period end
c. By assigning more experienced staff or those with specialized skills to high risk areas
d. By performing tests of controls at interim and period end dates

Ans: c. By assigning more experienced staff or those with specialized skills to high risk areas

Business

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Why should the clustering of variables be used?

What will be an ideal response?

Business

Reengineering, as an OD intervention, incorporates _____

a. work design b. centralization c. reassigning decision making to employees most technically competent d. all of the above e. answers a and b

Business