A Computer Service Centre Processes, for an Auditor's Client, Financial

question 31

Multiple Choice

A computer service centre processes, for an auditor's client, financial data that has a material effect on that client's financial statements.The independent auditor need NOT consider a review of the service centre controls if:

• A) he or she is satisfied that a special report on internal controls issued by the service centre's independent auditor can be relied on to the extent desired.
• B) the service centre is a partially owned subsidiary of the client company, whose financial statements are examined by another audit firm.
• C) the service centre controls have already been reviewed by the internal audit team of the client.
• D) the service centre processes data exclusively for the audit client and its subsidiaries.

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Definitions:

At-Risk Youth

Individuals, typically under the age of 18, who are considered to be at a higher risk of facing adverse outcomes such as failing in school, substance abuse, or criminal activity due to their social, economic, or family circumstances.

Unique Customer Experience

A distinctive and memorable interaction between a business and its customers, differentiating it from competitors through personalized service or innovative offerings.

Long-Term Course

Strategic plans or actions that are focused on achieving goals over an extended period rather than immediate or short-term results.

Strategy

A plan of action designed to achieve a long-term or overall goal, often involving setting objectives and determining the best course of action.