In an Audit Report on the Effectiveness of ICFR for a Public

question 59

Multiple Choice

In an audit report on the effectiveness of ICFR for a public company, to what does the basis of opinion paragraph make a reference?

• A)Registration with the PCAOB and independence requirements of the SEC and other federal securities laws
• B)The financial statement audit report and the type of opinion that was given on the financial statements.
• C)The COSO Internal Control-Integrated Framework as the criteria used as the basis for determining if ICFR are effective.
• D)A definition of ICFR that is taken directly from PCAOB AS 2201.

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Definitions:

Perceptions

The process of interpreting sensory information to form an understanding of the environment around us, influenced by experience, beliefs, and behavior.

Persons Versus Situations

A debate in psychology concerning the relative influence of personal traits and situational factors on human behavior.

Behavior

Behavior refers to the actions or reactions of an organism or system, usually in response to the environment, which can be observable or measurable.

Funder

A term often referring to an individual or organization that provides financial resources for projects or research.