Accounting Multiple Choice Question – 19 June 2026

In accordance with ISAs 315 and 520, select whether analytical procedures are not allowed, for PLCs only, compulsory or optional in each of the following circumstances.

• As a substantive procedure

Select ONE answer:

1. not allowed
2. for PLCs only
3. compulsory
4. optional

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 4

1. Not correct
2. Not correct
3. Not correct
4. Correct – Per ISA 315, analytical procedures must be used at the risk assessment stage of an audit. Per ISA 520 they must also be used at the overall review stages of an audit and may be used as a substantive procedure.

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