Auditors Consider Internal Control During the Audit of a Nonpublic

question 5

Multiple Choice

Auditors consider internal control during the audit of a nonpublic company:

• A) For all the same purposes as on an audit of a public company.
• B) To identify areas of risk and help to plan the financial statement audit.
• C) To help to plan the financial statement audit and issue an opinion on effectiveness.
• D) Only if they are sure it will be helpful when performing the financial statement audit.

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Definitions:

Portuguese Slave Ship

A vessel used by the Portuguese in the 15th to 19th centuries for the transatlantic slave trade, transporting enslaved Africans to various colonies in the Americas.

Dutch Traders

Merchants from the Netherlands who were prominent in early global trade, including the fur trade in North America and the spice trade in Asia.

English Settlement

The establishment of communities and colonies by English people in various parts of the world, particularly in North America, during the 17th and 18th centuries.

English Colony

A territory under the control and governance of England or the British Empire, established from the 16th to the 19th centuries in various parts of the world.