alleryStart learning →Internal audit tests the most important controls using which approach?
AAlphabetical review
BComplete re-keying
CRisk-based sampling
DRandom guessing
Answer & Solution
Correct answer: C. Risk-based sampling
Auditors design risk-based sampling and testing to see whether key controls operate as intended.
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Related questions
Working papers help third parties do what?Working papers help show that the audit was performed in line with what?Which development lets auditors analyse entire datasets instead of samples?If liquidation becomes imminent, statements are prepared on what basis?How long is the foreseeable future usually regarded under the going concern assumption?The IAASB issues which of these?Which body sets recognised standards for internal auditors?Internal auditors are employed by whom?