Question: Discuss how the terms likelihood and magnitude play a role
Discuss how the terms likelihood and magnitude play a role in evaluating the significance of a control deficiency.
Answer to relevant QuestionsThe first element in management’s process for assessing the effectiveness of internal control is determining which controls should be tested. Identify the controls that would typically be tested by management.Describe the steps in obtaining an understanding of ICFR using a top- down, risk- based approach.Under what circumstances would an auditor give an adverse opinion on the effectiveness of an entity’s ICFR?For each of the following cases, indicate why management and the auditors determined that the control deficiency was a material weakness. Case 1: In our assessment of the effectiveness of internal control over financial ...Search the Internet (e. g., an entity’s website or sec.gov), and find an audit report for an entity’s audit of internal control over financial reporting. Deter-mine whether the entity used the combined or separate ...
Post your question