In Evaluating Internal Control,the Auditor Is Basically Concerned That the System

question 77

Multiple Choice

In evaluating internal control,the auditor is basically concerned that the system provides reasonable assurance that

• A) Operational efficiency has been achieved in accordance with management plans.
• B) Errors and fraud have been prevented, or detected and corrected.
• C) Controls have not been circumvented by collusion.
• D) Management cannot override the system.

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Definitions:

Quantify

To measure or express something as a numerical value.

Verifiable Work Activities

Tasks or duties that can be proven or confirmed through evidence or testimony to have been completed.

Management By Objectives (MBO)

A strategic management model that aims to improve the performance of an organization by clearly defining objectives that are agreed upon by both management and employees.

Supervisor/Team Leader

A role within organizations responsible for overseeing the operations of a team and guiding team members towards achieving set objectives.