When the auditor decidto include controls testing in their audit strategy, they select those controls that:
A) are the easiest to test.
B) provide the most efficient and effective audit evidence.
C) provide no assurance that the controls operated effectively throughout the period of reliance.
D) provide the least efficient and effective audit evidence.

Question

Quizplus · Accepted Answer

The auditor should select controls that provide the most efficient and effective audit evidence. This means the controls should be relevant to the audit objective, provide sufficient evidence, and be reliable. The auditor should also consider the cost-benefit of testing the controls. The easiest controls to test may not necessarily provide the most meaningful evidence, whereas the most effective controls may require more effort to test. Additionally, while control testing provides assurance that controls operated effectively at a point in time, it does not necessarily provide assurance that controls operated effectively throughout the entire period of reliance.

When the Auditor Decidto Include Controls Testing in Their Audit