For a nonissuer, a control deficiency would be considered a material weakness when the likelihood and magnitude of potential financial statement misstatements are:

Question

Quizplus · Accepted Answer

Choice "A" is correct. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the entity's financial statements will not be prevented or detected. Choices "B", "C", and "D" are incorrect, based on the above.

For a Nonissuer, a Control Deficiency Would Be Considered a Material