Which is correct about auditors and internal control?
AThey design every control
BThey assess design and operation
CThey never review IT controls
DThey approve staff pay rises
Answer & Solution
Correct answer: B. They assess design and operation
Internal and external auditors assess the design, implementation and effective operation of controls and recommend improvements.
Keep practising Risk Assessment and Internal Control
Browse all Risk Assessment and Internal Control questions for CA Final, or explore more Auditing topics.
Related questions
The COSO risk assessment component involves what?A payables system matches order, receipt and invoice before paying. Which objective?Maintaining documentation to substantiate transactions is which control activity?Why did the IASB decline a uniform numeric materiality threshold?Materiality is reassessed at the conclusion of the audit before the report is issued. WhatWhat is the purpose of setting performance materiality?Which expression gives audit risk in the audit risk model?Control risk is assessed higher in an entity where what is true?