For public companies in the U.S. ,which statement is correct?
A)Auditors and management are jointly involved in planning tests of internal controls over financial reporting.
B)Management is not required to identify controls related to the financial reporting processed.
C)The auditor expresses an opinion on the effectiveness of the company's internal controls over financial reporting without considering management's assessment of the effectiveness of internal controls over financial reporting.
D)The accounting firm performing the financial statement audit must also perform the audit of internal controls over financial reporting.

Question

Quizplus · Accepted Answer

The Sarbanes-Oxley Act requires that the same accounting firm performing the financial statement audit for a public company must also perform the audit of its internal controls over financial reporting. This ensures consistency and thoroughness in the examination of the company's financial practices and control mechanisms.

For Public Companies in the U