To Obtain an Understanding of an Entity's Control Environment, an Auditor

question 69

Multiple Choice

To obtain an understanding of an entity's control environment, an auditor should concentrate on the substance of management's policies and procedures rather than their form because

• A) management may establish appropriate policies and procedures but not act on them.
• B) the board of directors may not be aware of management's attitude toward the control environment.
• C) the auditor may believe that the policies and procedures are inappropriate for that particular entity.
• D) the policies and procedures may be so weak that no reliance is contemplated by the auditor.

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Definitions:

WHO Terminology Guidelines

Standards and recommendations provided by the World Health Organization for the consistent use of medical and health-related terms.

Chief Complaint

is the primary issue or symptom that a patient reports to a healthcare provider during a visit.

Third-party Payers

Entities (other than the patient or healthcare provider) responsible for paying for healthcare services, typically insurance companies or government agencies.

Tabular List

One of two ways that diagnoses are listed in the ICD-10. In the Tabular List, the diagnosis codes are listed in numeric order with additional instructions.