Which of the Following Is False

question 44

Multiple Choice

Which of the following is false?

• A)Regardless of the achieved level of control risk in connection with the audit of the financial statements, auditing standards require the auditor to perform some substantive procedures for all significant accounts and disclosures.
• B)The absence of misstatements in financial statements is considered convincing evidence that existing controls are effective.
• C)The audit of internal control is intended to draw conclusions about the effectiveness of internal control over financial reporting as of a specific date.
• D)The auditor is required by AS5 to evaluate the implications of the financial statement audit for the effectiveness of internal control over financial reporting.

---

Definitions:

Indivisible

Pertaining to something that cannot be separated or divided into parts without losing its essential features or functionality.

Complete Performance

The full and exact fulfillment of all terms and obligations as specified in a contract.

Limitation of Liability Clause

A contractual provision that limits the amount one party can claim from another in case of damage, loss, or injury.

Partial Summary Judgment

A legal decision made by a court on certain aspects of a case without a full trial, resolving some but not all of the issues.