A critical element of control is monitoring. What is likely to happen if management fails to monitor an internal control?
A) Necessary improvements will not be identified.
B) Personnel are likely to stop observing the control.
C) The inherent risk of an error will increase.
D) The auditor is likely to assume the control is working when it might not be.
Correct Answer:
Verified
Q5: The possibility that fraud has resulted in
Q9: An auditor can broadly define controls as
Q13: If an employee or non-employee wrongfully takes
Q15: Defalcation is another name for _.
A) fraud
B)
Q17: To whom should immaterial errors should be
Q20: Which of the following is normally considered
Q22: Fraudulent financial reporting is a type of
Q23: The first digit in a social insurance
Q29: Since management is most familiar with an
Q38: If a supervisor sets a bad example
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents