A Material Weakness in the Design of the Operation of Controls

question 49

Multiple Choice

A material weakness in the design of the operation of controls discovered in an audit of internal controls results in:

• A)A qualified management letter.
• B)An adverse report on internal controls.
• C)The firing of the auditors.
• D)Adjusting audit journal entries.

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Definitions:

Second Principle

In the context of John Rawls' theory, the second principle of justice describes fair equality of opportunity and the difference principle, allowing inequalities only if they benefit the least advantaged.

Income

The financial gain or money received, typically on a regular basis, for work or through investments.

Well-Ordered Society

A society in which citizens share a common conception of justice that shapes their basic structure of society, leading to cooperative and mutually beneficial living together.

Veil of Ignorance

A theoretical concept that suggests designing society's principles without knowing one's status, to ensure fairness and impartiality in laws and social agreements.