Which of the following does the auditor consider when determining the extent of reliance to be placed on internal controls?
A) assessed level of control risk
B) the costs of increased tests of controls
C) effectiveness of the internal controls
D) all of the above

Question

Quizplus · Accepted Answer

The auditor considers all of the listed factors when determining the extent of reliance to be placed on internal controls. The assessed level of control risk, the costs of increased tests of controls and the effectiveness of internal controls all impact the extent to which the auditor can rely on the controls in determining the overall audit approach.

Which of the Following Does the Auditor Consider When Determining