Question

An auditor would be least likely to learn of slow-moving inventory through:

Answer 1

An auditor is least likely to learn of slow-moving inventory through standard financial statements; specific inventory analyses are required to identify such issues.

Step-by-step explanation:

An auditor would be least likely to learn of slow-moving inventory through a company's standard financial statements. Auditors typically rely on more specific procedures to identify slow-moving inventory, such as analyses of inventory turnover rates, physical inventory counts, and reviews of subsequent sales activity.

It is less likely for slow-moving items to be directly indicated on standard financial documents without these specific investigative procedures.