InterviewSolution
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InterviewSolution
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To What Extent Must I Consider The Client’s Internal Control? |
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Answer» The practitioner MUST obtain a sufficient understanding of INTERNAL control to enable the proper planning of the audit. Whether controls have been placed in OPERATIONS is of prime importance. Operating effectiveness is not to be judged by the practitioner. The understanding of the internal control should: provide a basis for identifying types of POTENTIAL misstatements, enable the assessment of the risk that such misstatements will occur, and The practitioner must obtain a sufficient understanding of internal control to enable the proper planning of the audit. Whether controls have been placed in operations is of prime importance. Operating effectiveness is not to be judged by the practitioner. The understanding of the internal control should: provide a basis for identifying types of potential misstatements, enable the assessment of the risk that such misstatements will occur, and |
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