Which One of the Following Statements Is NOT Correct

question 7

Multiple Choice

Which one of the following statements is NOT correct?

• A) Internal controls vary from company to company; therefore, the auditor must identify the controls and deficiencies for each organisation.
• B) The substantive tests of transactions will vary depending on the assessed control risk.
• C) The tests of controls and substantive tests of transactions are combined where appropriate.
• D) The auditor must perform tests of controls on all of the client's internal controls.

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Definitions:

Developmental Level

The stage of growth or progression in physical, emotional, intellectual, or social development typical for a certain age or group.

Superego

In psychoanalytic theory, the part of the personality responsible for the internalization of societal and parental standards of conduct, operating on the morality principle.

Fixation

According to Freud, a condition in which the id, ego, and superego do not mature properly and are frozen at an early stage of development.

Libido

The sexual energy that fuels the id.