Economics · Auditing

Which TWO of the following procedures are relevant responses to the risk that inventory quantities are misstated by a new computerized inventory system? 1. Review a sample of purchase requisitions to determine whether the quantity of inventory held per the inventory system was verified before the requisition was approved. 2. Determine how often inventory counts are performed and the level of corrections required to the inventory system. 3. Review sales prices of inventory sold after the year-end to identify inventory where cost exceeds net realizable value. 4. Test the operation of the inventory system using Computer Assisted Audit Techniques (CAATs).