Question

When there are numerous plant asset transactions during the year, an auditor who plans to assess control risk at a high level for a non-public entity usually performs

A. Primarily substantive analytical procedures on current year transactions.
B. Limited or no tests of controls and extensive substantive tests of current year transactions and ending balances.
C. Extensive test of controls and limited tests of current year transactions.
D. Primarily substantive analytical procedures on year end balances.

Answer 1

An auditor who plans to assess control risk at a high level for a non-public entity usually performs limited or no tests of controls and extensive substantive tests of current year transactions and ending balances.

Step-by-step explanation:

When there are numerous plant asset transactions during the year, an auditor who plans to assess control risk at a high level for a non-public entity usually performs limited or no tests of controls and extensive substantive tests of current year transactions and ending balances.