Question: 1 A . Why is it important for the team to gain an understanding of the internal control environment when performing an audit? 1 B

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Why is it important for the team to gain an understanding of the internal control environment when performing an audit?

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You are a CPA, and you are planning the audit of ABC Store, a local grocery store cooperative. Because ABC Store is small business operated entirely by part

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time volunteer personnel, internal control is weak. You have decided that you will assess control risk at the highest level for all assertions and not restrict audit procedure in any area. Under these circumstances, can you omit the consideration of internal control in this engagement? Why or why not?

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