Significant Deficiencies Are Defined as Conditions That

Significant deficiencies are defined as conditions that

A) Could adversely affect the organization's ability to initiate, record, process, and report financial data in the financial statements.
B) Result in a reasonable possibility that a material misstatement exists in financial statements.
C) Exist when the design or operation of a control does not allow the company's management or employees to detect or prevent misstatements in a timely fashion.
D) Relate to either a necessary control that is missing or an existing control that is so poorly designed that it fails to satisfy the control's objective.