Free Preparation Discussions
MENU
AICPA CPA-Auditing Exam - Topic 3 Question 86 Discussion
Topic #: 3
The overall attitude and awareness of those charged with governance (i.e., an entity's board of directors) concerning the importance of internal control usually is reflected in its:
Choice 'd' is correct. When obtaining an understanding of an entity's internal control in a financial statement audit, an auditor is not obligated to search for significant deficiencies in the operation of internal control.
Choice 'a' is incorrect. In order to determine the nature, timing and extent of tests to be performed, an auditor must determine whether the control activities have been implemented.
Choice 'b' is incorrect. An auditor is required to perform procedures to confirm his/her understanding of the internal control systems' design, and to determine whether relevant controls have been implemented.
Choice 'c' is incorrect. An auditor is required to document his or her understanding of the entity's internal control components, even if he or she intends to use a substantive approach.
Patria
3 months agoLatricia
3 months agoLouvenia
3 months agoLamonica
4 months agoBrittani
4 months agoJose
4 months agoAntonio
4 months agoShantay
4 months agoOlene
5 months agoMatilda
5 months agoJuan
5 months agoRhea
5 months agoAlona
5 months agoOlga
5 months agoNoel
5 months agoWei
5 months agoMaddie
5 months agoCristen
10 months agoCarissa
9 months agoLeandro
9 months agoAlaine
9 months agoCarey
10 months agoHector
10 months agoTheola
10 months agoNina
10 months agoEdmond
10 months agoVanesa
10 months agoRory
10 months agoNichelle
10 months agoMing
10 months ago