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When considering how the entity monitors its system of internal control, the auditor may evaluate the design of the monitoring activities, such as:
When considering how the entity monitors its system of internal control, the auditor may evaluate the design of the monitoring activities, such as:
- Whether it is periodic or ongoing monitoring (correct)
- The frequency of coffee breaks for monitoring staff
- The brand of computers used for monitoring activities
- The color of the office walls
What should the auditor evaluate to determine whether the controls have been effective?
What should the auditor evaluate to determine whether the controls have been effective?
- The length of employee lunch breaks
- The evaluation of the results of the monitoring activities (correct)
- The quality of cafeteria food
- The number of office meetings conducted
What might be included in the entity's process to monitor the system of internal control related to IT?
What might be included in the entity's process to monitor the system of internal control related to IT?
- Monitoring employee vacation time
- Controls to monitor complex IT environments and permissions applied in automated information processing controls (correct)
- Reviewing customer feedback on products
- Evaluating the company's travel expenses
What helps the auditor obtain an understanding of the nature of the internal audit function's responsibilities?
What helps the auditor obtain an understanding of the nature of the internal audit function's responsibilities?
When may ISA 610 (Revised 2013) apply in relation to the internal audit function?
When may ISA 610 (Revised 2013) apply in relation to the internal audit function?
What is the focus of the auditor's understanding of the entity's process to monitor the system of internal control in less complex entities, such as owner-manager entities?
What is the focus of the auditor's understanding of the entity's process to monitor the system of internal control in less complex entities, such as owner-manager entities?
What may alert the owner-manager to issues with the timing of when customer payments are being recognized in the accounting records?
What may alert the owner-manager to issues with the timing of when customer payments are being recognized in the accounting records?
What is included in the understanding of the entity’s process to monitor the system of internal control for entities with no formal process for monitoring the system of internal control?
What is included in the understanding of the entity’s process to monitor the system of internal control for entities with no formal process for monitoring the system of internal control?
In less complex entities, what may be the focus of the auditor's understanding of the entity's process to monitor the system of internal control?
In less complex entities, what may be the focus of the auditor's understanding of the entity's process to monitor the system of internal control?
What does understanding the process to monitor the system of internal control for entities with no formal process include?
What does understanding the process to monitor the system of internal control for entities with no formal process include?
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