An Auditor Should Obtain Knowledge of a Client's Information and Communication

question 89

Multiple Choice

An auditor should obtain knowledge of a client's information and communication system in order to understand each of the following, except:

• A) How transactions are initiated, processed, and reported.
• B) The process used to prepare financial statements.
• C) The means used by an entity to communicate financial reporting roles to its staff.
• D) The means used by an entity to ensure that management directives are carried out.