Which of the following types of evidence is an auditor most likely to consider in determining whether internal controls are operating as designed?
A)A letter from management corroborating inventory pricing.
B)Questionnaires completed by employees in the receiving department concerning their duties and responsibilities.
C)Attorneys' responses to the auditor's inquiries.
D)Direct confirmations of receivables verifying account balances.

Question

Quizplus · Accepted Answer

In determining whether internal controls are operating as designed, an auditor is most likely to consider evidence obtained through inquiries of personnel, observation of internal controls, and inspection of records and documents. Questionnaires completed by employees in the receiving department would provide insight into the design and effectiveness of internal controls in that area. The other choices are not relevant to the determination of internal controls.

Which of the Following Types of Evidence Is an Auditor