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which of the following statements is true regarding prelimi nary analytical procedur 738515

Which of the following statements is true regarding prelimi nary analytical procedures for debt obligations and stockholders’ equity transactions?

a. Because there are typically only a few stockholders’ equity transactions, the auditor is not required to perform preliminary analytical procedures for stockholders’ equity accounts.

b. Trend analysis would not typically be performed for debt obligations.

c. The long term debt to equity ratio could be considered by the auditor as part of the preliminary analytical procedures.

d. All of the above statements are true.

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