Section 404 of the Sarbanes-Oxley Act requires the auditor to provide which of the following?
A) Reasonable assurance on the financial statements, absolute assurance on internal control.
B) Reasonable assurance on internal control, absolute assurance on the financial statements.
C) Absolute assurance on both the financial statements and internal control.
D) Reasonable assurance on both the financial statements and internal control.

Question

Quizplus · Accepted Answer

Section 404 of the Sarbanes-Oxley Act requires auditors to provide reasonable assurance on both the financial statements and the effectiveness of internal control over financial reporting. Absolute assurance is not feasible due to inherent limitations in any audit process.

Section 404 of the Sarbanes-Oxley Act Requires the Auditor to Provide