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NEW QUESTION: 1
If an auditor's risk assessment is based on the effective operation of controls, the auditor will likely:
A. Identify specific internal controls that are likely to detect or prevent material misstatements.
B. Apply analytical procedures to both financial data and nonfinancial information to detect conditions that
may indicate weak controls.
C. Document that the additional audit effort to perform tests of controls exceeds the potential reduction in
substantive testing.
D. Perform tests of details of transactions and account balances to identify potential errors and fraud.
Answer: A
Explanation:
Explanation/Reference:
Explanation:
Choice "C" is correct. Assessing risk based on the effective operation of controls involves (1) identifying
specific internal controls relevant to specific assertions that are likely to prevent or detect material
misstatements in those assertions, and (2) performing tests of such controls to evaluate their
effectiveness.
Choice "A" is incorrect. Analytical procedures are used for planning purposes, as substantive tests, or as a
final overall review. They are not used to support a risk assessment based on the effective operation of
controls.
Choice "B" is incorrect. Tests of details of transactions and account balances to identify potential errors
and fraud are substantive tests. They are not used to support a risk assessment based on the effective
operation of controls.
Choice "D" is incorrect. The auditor may not assess risk based on the effective operation of controls unless
tests of controls are performed. However, if the audit effort required to perform tests of controls exceeds
the potential reduction in substantive testing, tests of controls will not be performed because doing so
would reduce audit efficiency.

NEW QUESTION: 2

A. Option D
B. Option C
C. Option B
D. Option A
Answer: C

NEW QUESTION: 3
Click the Exhibit button.

The query.sql file contains the information shown in the exhibit. The following command is run: dbaccess?
query.sql
How many rows will be returned by the select query?
A. 0
B. 1
C. 2
D. 3
Answer: D

NEW QUESTION: 4
Refer to the exhibit.

An administrator logs in to Prism and sees the status shown in the exhibit within the Hardware Diagram section.
What should the administrator do?
A. Reseat all disks immediately. If this does not help, reseat the nodes.
B. Restart all CVMs for the cluster to check, confirm health and repartition and add the disks.
C. Check status of applications running on the cluster and call support
D. Resolve all alerts and re-import the disks to make sure there is no service disruption.
Answer: C