Which of the Following Statements Relating to Identifying Strengths and Weaknesses

question 122

Multiple Choice

Which of the following statements relating to identifying strengths and weaknesses in a system of internal controls are true? (choose two options)

• A)If the auditor identifies internal control weaknesses, the risk of material misstatements being undetected by management's processes and controls increases.
• B)The auditor typically performs additional substantive testing in the areas of internal control weakness in order to identify and quantify potential material misstatement.
• C)There is no link between weaknesses in internal controls (that is, observations that controls being tested did not operate as intended) and the level of substantive procedures required.
• D)When the auditor identifies internal control weaknesses, the auditor will consider a lower assessed level of control risk approach for assertions influenced by these weaknesses.

Distinguish between weather and climate in the context of long-term geological timelines.

Understand the importance of prokaryotes in Earth's oxygenation and its implications for life's evolution.

Identify the proper use of semicolons in complex sentences.

Recognize correct punctuation in lists and enumerations.

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Definitions:

Customer Churn

The rate at which customers stop doing business with an entity, often used to gauge a company's ability to retain its customers over time.

High-End CRM

Customer Relationship Management systems that offer advanced features and functionalities targeted at enterprises requiring complex customer interaction tools and data analytics.

Recommends Products

A feature or service through which suggestions for products are made to potential customers based on their browsing history, preferences, or purchase behavior.

NFC

Near Field Communication, a set of communication protocols that enable two electronic devices, one of which is often a portable device such as a smartphone, to establish communication by bringing them within a few centimeters of each other.