When a Compensating Control Exists, the Absence of a Key

question 30

Multiple Choice

When a compensating control exists, the absence of a key control

• A) is no longer a concern because there is no longer a significant deficiency or material weakness.
• B) is still a major concern to the auditor.
• C) could cause a material loss, so it must be tested using substantive procedures.
• D) is magnified and must be removed from the sampling process and examined in its entirety.

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Definitions:

Zolpidem

A medication commonly used for the short-term treatment of sleeping problems, operating by slowing brain activity.

Triazolam

A sedative-hypnotic medication used in the short-term treatment of insomnia, belonging to the benzodiazepine class.

Warm Milk

A traditional home remedy believed to aid in relaxation and promote sleep, often consumed before bedtime.

Sleep-Wake Pattern

A biologically regulated cycle that alternates between sleep and wakefulness over a 24-hour period, influenced by circadian rhythms.