An Auditor Should Consider Two Key Issues When Obtaining an Understanding

question 126

Multiple Choice

An auditor should consider two key issues when obtaining an understanding of a client's internal controls. These issues are

• A) the effectiveness and efficiency of the controls.
• B) the frequency and effectiveness of the controls.
• C) the design and operating effectiveness of the controls.
• D) the implementation and operating effectiveness of the controls.

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Definitions:

Minstrelsy

Entertainment, popular in the 19th century, involving performers in blackface portraying caricatures of African American people and culture.

Nathaniel Hawthorne

An American novelist and short story writer, known for his dark romanticism and works like "The Scarlet Letter".

Romanticism

A cultural movement that emphasized emotion, individualism, and the glorification of all the past and nature, rejecting the Industrial Revolution.

Reform Movement

Collective efforts aimed at making gradual or radical changes to societal norms, values, laws, or institutions, often to address perceived injustices or improvements.