Accounting Multiple Choice Question – 16 June 2026

All methods of obtaining audit/assurance evidence have deficiencies.

An example of this is listed below.

For the deficiency, select the method of obtaining evidence which is most likely to result in that deficiency.

• Limited by the underlying accounting system

Select ONE answer:

1. Analytical review
2. Direct confirmation of a receivables balance
3. Direct confirmation of a payables balance
4. Observation of a procedure

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 – The usefulness of analytical review is limited by the underlying accounting system which generates the balances under review.
2. Not correct
3. Not correct
4. Not correct

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