Chapter 3, Problem 36RQSC

a.

To determine

Introduction:The operational issue are the problems in a company which has to be removed for improving the operations growth of the company. Control deficiency are the actions taken by the management which controls the working of the employees.

To describe:Whether the action taken will be considered as an operational issue and not an control deficiency or it would constitute a material weakness or significant deficiency in internal control.

b.

To determine

Introduction:Financial reporting refers to the disclosing of all the financial information and financial results of the company to its managements and other users. The financial reporting describes the financial performance of a company during the year.

To describe:The change in the risk related to the objective of reliable financial reporting.