An engagement to express an opinion on a system of internal control will generally
A) Only require those procedures already applied in assessing control risk during a financial statement audit.
B) Increase the reliability of the financial statements that have already been audited.
C) Be more extensive in scope than the assessment of control risk made during a financial statement audit.
D) Be more limited in scope than the assessment of control risk made during a financial statement audit.

Question

Quizplus · Accepted Answer

An engagement to express an opinion on a system of internal control will generally be more extensive in scope than the assessment of control risk made during a financial statement audit. This is because the objective of the engagement is to provide an independent opinion on the effectiveness of the client's internal controls, rather than just assessing the risks associated with the financial statements. The engagement will typically require additional procedures to evaluate the design and operating effectiveness of the internal controls, and may also include testing and analysis of various control activities.

An Engagement to Express an Opinion on a System of Internal