When Controls "Work

question 36

Multiple Choice

When controls "work"

• A)the auditor increases the amount of substantive testing
• B)the auditor reduces the amount of substantive testing
• C)the auditor increases the amount of substantive testing over what would have been done if the control had been effective in preventing or detecting misstatements in the financial statements
• D)the auditor decreases the amount of substantive testing over what would have been done if the control had been effective in preventing or detecting misstatements in the financial statements
• E)the auditor reduces the amount of substantive testing over what would have been done if the control had not been effective in preventing or detecting misstatements in the financial statements

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Definitions:

Recognition Programs

Initiatives or schemes designed to acknowledge and reward employees' achievements, contributions, and performance.

Employee Engagement

The emotional and intellectual commitment of employees to their work and workplace, which influences their willingness to learn and perform.

Statement of Praise

An expression of approval or admiration, often given to recognize or encourage someone's achievements or qualities.

Insurance Claim

A formal request to an insurance company asking for payment based on the terms of the insurance policy, typically after a loss, damage, or theft.