ACCT 444 help A Guide to career/Snaptutorial ACCT 444 help A Guide to career/Snaptutorial | Page 9

7-27 (Objective 7-4) The following are examples of documentation
typically obtained by auditors:
7-30 (Objective 7-4) Eight different types of evidence were discussed.
The following questions concern the reliability of that evidence:
7-31 (Objective 7-4) As auditor of the Star Manufacturing Company,
you have obtained
8-22 (Objective 8-7) Gale Gordon, CPA, has found ratio and trend
analysis relatively useless as a tool in conducting audits. For several
engagements, he computed the industry ratios included in publications
by Standard and Poor’s and compared them with industry standards.
For most engagements, the client’s business was significantly
different from the industry data in the publication and the client
automatically explained away any discrepancies by attributing them
to the unique nature of its operations. In cases in which the client had
more than one branch in different industries, Gordon found the ratio
analysis no help at all. How can Gordon improve the quality of his
analytical procedures?