Assume That the External Auditor Decides That Because of Work

question 3

Multiple Choice

Assume that the external auditor decides that because of work performed by internal auditors, the audit risk has been reduced to an acceptable level. As a result of this assessment, the auditor can do which of the following?

• A) The auditor must test the assertions directly and document a separate conclusion.
• B) The auditor can decide that direct testing is not necessary.
• C) The auditor must delegate the responsibility of expressing an opinion to the internal auditors.
• D) The auditor can assume that inherent risk is zero.

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Definitions:

Historical Significance

The importance attributed to an event, person, or place based on its impact on history or influence on future developments.

Slave Culture

The distinct social, cultural, and familial practices developed by enslaved African Americans in the United States, forming communities and resilience within the oppressive framework of slavery.

African Heritage

The customs, traditions, and cultural influences tracing back to the African continent, preserved among people of African descent worldwide.

Folklore

The traditional beliefs, customs, stories, songs, and practices of a culture, passed through generations by word of mouth.