Narratives,flowcharts,and internal control questionnaires are three commonly used methods of
A)documenting the auditor's understanding of internal controls.
B)testing internal controls.
C)designing the audit manual and procedures.
D)documenting the auditor's understanding of the client's organizational structure.

Question

Quizplus · Accepted Answer

Narratives, flowcharts, and internal control questionnaires are all tools used for documenting the auditor's understanding of internal controls. They are not used for testing internal controls or designing the audit manual and procedures. While they may provide some information about the client's organizational structure, their main purpose is to document the controls in place to ensure the reliability of financial reporting.

Narratives,flowcharts,and Internal Control Questionnaires Are Three Commonly Used Methods of