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NEW QUESTION 38
A company has recently incurred significant cost overruns on one of its construction projects. Management suspects that these overruns were caused by the contractor improperly accounting for costs related to contract change orders. Which of the following procedures would be appropriate for testing this suspicion?
I.Verify that the contractor has not charged change orders with costs that have already been billed to the original contract.
II.
Determine if the contractor has billed for original contract work that was canceled as a result of change orders.
III.
Verify that the change orders were properly approved by management.C. III only.D. I only.
Answer: A
NEW QUESTION 39
When determining the nature, timing, and extent of follow up, the chief audit executive considers all of the following factors except:
Answer: A
NEW QUESTION 40
Which of the following is a responsibility of the internal auditor once a fraud investigation has been concluded?
Answer: D
NEW QUESTION 41
Which of the following reasonably represents best practices regarding what should be the level of internal audit resource investment in monitoring and following up on engagement outcomes?
Answer: D
NEW QUESTION 42
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