When considering the effectiveness of internal control, the auditor should recognize that inherent limitations do exist. Which of the following is an example of inherent limitations in a client's internal control? Group of answer choices Procedures are designed to assure the execution and recording of transactions in accordance with management's authorization. In the performance of most control procedures, there are possibilities of errors arising from mistakes in judgment. The effectiveness of procedures depends on the segregation of employee duties. Procedures for handling large numbers of transactions are processed by electronic data processing equipment
When considering the effectiveness of internal control, the auditor should recognize that inherent limitations do exist. Which of the following is an example of inherent limitations in a client's internal control? Group of answer choices Procedures are designed to assure the execution and recording of transactions in accordance with management's authorization. In the performance of most control procedures, there are possibilities of errors arising from mistakes in judgment. The effectiveness of procedures depends on the segregation of employee duties. Procedures for handling large numbers of transactions are processed by electronic data processing equipment
Auditing: A Risk Based-Approach (MindTap Course List)
11th Edition
ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter3: Internal Control Over Financial Reporting: Responsibilities Of Management And The External Auditor
Section: Chapter Questions
Problem 32CYBK
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When considering the effectiveness of internal control, the auditor should recognize that inherent limitations do exist. Which of the following is an example of inherent limitations in a client's internal control?
Group of answer choices
Procedures are designed to assure the execution and recording of transactions in accordance with management's authorization.
In the performance of most control procedures, there are possibilities of errors arising from mistakes in judgment.
The effectiveness of procedures depends on the segregation of employee duties.
Procedures for handling large numbers of transactions are processed by electronic data processing equipment.
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