The procedures to test effectiveness of control policies and procedures in support of a reduced assessed control risk are called
A)tests of details of balances.
B)tests of controls.
C)analytical procedures.
D)a walk-through.

Question

Quizplus · Accepted Answer

Tests of controls are specifically designed to test the effectiveness of control policies and procedures in support of a reduced assessed control risk. Tests of details of balances are designed to test the completeness, accuracy and validity of account balances. Analytical procedures are used to identify potential significant relationships and trends. A walk-through is a form of testing used to test the effectiveness of controls as well, but is not the specific term used to describe the procedures to test effectiveness of control policies and procedures in support of a reduced assessed control risk.

The Procedures to Test Effectiveness of Control Policies and Procedures