When a client uses a service organization to process certain transactions (e.g.,its employee benefit plan),the auditor is least likely to obtain an understanding relating to these transactions by
A)Contacting the service organization to obtain specific information.
B)Visiting the service organization and performing procedures.
C)Sending a confirmation request to the service organization
D)Obtaining and reading a type 1 or type 2 report from the service organization.

Question

Quizplus · Accepted Answer

Sending a confirmation request to the service organization is less likely to provide an understanding of the processes and controls in place, as confirmations are typically used to verify specific balances or transactions rather than to understand processes.

When a Client Uses a Service Organization to Process Certain