Day: October 30, 2025

Accounting Multiple Choice Question – 30 October 2025

The home of multiple choice questions for all your KS3, KS4 and KS5 Business Studies, Economics and Accounting requirements.

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For each of the following statements, select whether they are true or false with respect to the concept of substantive procedures.

Statement 1 – The auditor must carry out substantive procedures on all material items.

Statement 2 – The auditor only carries out substantive procedures if the results of tests of controls are inconclusive.

Statement 3 – Substantive procedures include both analytical procedures and tests of details.

Identify whether the statements made above are true or false?

Select ONE answer:

  1. Statement 1. True and Statement 2. False and Statement 3. True
  2. Statement 1. False and Statement 2. False and Statement 3. True
  3. Statement 1. True and Statement 2. True and Statement 3. False
  4. Statement 1. False and Statement 2. True and Statement 3. True

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 1

  1. Correct => Statement 1 is True as material items must be tested with substantive procedures. However, the extent of these procedures will depend on whether reliance can be placed on the related internal controls.
  2. Not correct
  3. Not correct
  4. Not correct

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