Which of the Following Statements Is True

question 109

Multiple Choice

Which of the following statements is true?

• A)External auditors must consider the internal audit function as part of obtaining an understanding of a company's internal control structure.
• B)External auditors must review all work performed by internal auditors.
• C)External auditors must investigate the competence and objectivity of internal auditors.
• D)External auditors must share responsibility for the work of internal auditors if it is used for evidence for the financial statement audit.

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Definitions:

Current Assets

Assets that are expected to be converted into cash, sold, or consumed within one year or the business's operating cycle, whichever is longer.