Explain how analytical and inferential tools can aid in the evaluation of accounting evidence. Provide at least one example from current or past events.
There are several analytical and inferential tools that can aid the evaluation of accounting evidence. First these tools help develop an expectation of what the accounting information should. One analytical and inferential approach is to use prior period amounts. In some cases an incremental approach is used. further, an important analytical and inferential tool is to compare the information with similar information from the industry in which the firm is located. ...
The solution first explains how one can use various anaytical and inferential evaluation tools, then investigates how they were applied in Waste Management Inc. in 254 words with 4 references.