Determine Which of the Following Is the Most Correct Statement

question 141

Multiple Choice

Determine which of the following is the most correct statement regarding the reliability of audit evidence.

• A) Information that is indirectly obtained from external sources is the most reliable audit evidence.
• B) Reliability of audit evidence is dependent upon the evidence being subjective.
• C) Reliability of evidence refers to the amount of evidence obtained.
• D) If internal controls are effective, evidence obtained is more reliable than when the controls are not effective.

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Definitions:

Clan Culture

A type of organizational culture that emphasizes family-like relationships, where loyalty, tradition, and values are cherished.

Formality

The degree of adherence to established conventions, rules, or ceremonial procedures.

Hierarchical Coordination

The arrangement and management of tasks and responsibilities across different levels of an organization to achieve effective operation.

Organizational Dissent

The expression of disagreement or oppositional viewpoints about organizational practices or policies by employees within the organization.