A client company has a small number of finance and IT personnel that supports a packaged financial reporting software system. The appropriate tests of controls could include auditor verification that:
A) the code in the packaged software cannot be changed by the user.
B) management override is not possible in this small environment.
C) outside professionals supplement the financial reporting function and provide an assessment of ICFR effectiveness.
D) entity-level controls are not relevant in this small environment.

Question

Quizplus · Accepted Answer

The auditor should verify that the code in the packaged software cannot be changed by the user to ensure the integrity and security of the financial reporting system.

A Client Company Has a Small Number of Finance and IT