Which of the Following Does the Auditor Consider When Determining

question 111

Multiple Choice

Which of the following does the auditor consider when determining the extent of reliance to be placed on internal controls?

• A) assessed level of control risk
• B) the costs of increased tests of controls
• C) effectiveness of the internal controls
• D) all of the above

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Definitions:

Particular Task

A specific duty or responsibility assigned to someone as part of their job or role.

Situational Leadership Theory

A leadership model proposed by Hersey and Blanchard which suggests that the most effective leadership style varies with the readiness or development level of the followers.

Consideration Concerns

involve being mindful and accommodating of the feelings, needs, and interests of others.

Structure Concerns

Refers to issues or considerations related to the organization, layout, or framework of a system or entity.