If an Auditor Determines That a Client Company's Internal Controls

question 56

Multiple Choice

If an auditor determines that a client company's internal controls are producing reliable and complete financial information, the auditor will rely upon the internal control system and:

• A) reduce the extent of controls testing in the interim phase of the financial statement audit.
• B) reduce the planned substantive testing during the financial statement audit.
• C) increase the amount of evidence collected during the financial statement audit.
• D) increase the planned substantive testing during the financial statement audit.

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