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NEW QUESTION: 1
A major insurance company provides a discount on automobile insurance if the vehicle meets certain safety criteria. Which of the following audit tests would provide an internal auditor with the best evidence that all qualifying insured automobiles are receiving the discount?
A. Select a sample of automobiles that are not receiving the discount and determine if they have been properly excluded.
B. Compare the percentage of automobiles receiving discounts this year to that of last year.
C. Select a sample of automobiles receiving the discount and determine that the required discount criteria are being met.
D. Ask managers whether they are aware of the discount criteria and whether they are providing the discount to all qualifying automobiles.
Answer: A

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