The Standard Report on Internal Controls Over the Financial Reporting

question 56

Multiple Choice

The standard report on internal controls over the financial reporting process is modified by the auditor in which of the following circumstances?

• A)Management's quarterly report on internal control is incomplete or improperly presented
• B)There is a restriction on the scope of the engagement
• C)The auditor decides to refer to the report of management for the auditor's own report
• D)There is other information in management's quarterly report on internal control over financial reporting
• E)Management's annual certification pursuant to Section 302 of the Sarbanes-Oxley Act is misstated
• F)both A and B
• G)both B and E
• H)both C and D

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Definitions:

Collective Unconscious

A concept in Jungian psychology referring to the part of the unconscious mind that is shared among beings of the same species, consisting of inherited, universal themes.

Instinctual Satisfaction

The fulfillment of innate biological drives or needs, such as hunger or sexual desire.

Basically Good

A philosophical and psychological concept suggesting that human nature is fundamentally benevolent or positive.

Minimizing

The act or strategy of reducing something, especially negative impacts or aspects, to the smallest possible amount or degree.