Which of the following is the least important audit reason for the auditor's obtaining an understanding of a company's internal control?
A)To serve as a basis for constructive suggestions.
B)To plan subsequent substantive tests.
C)To identify types of possible misstatements that may occur.
D)To consider factors that may affect the risk of material misstatement.

Question

Quizplus · Accepted Answer

Understanding a company's internal control helps auditors plan their audit, identify potential misstatements, and assess the risk of material misstatement. While making constructive suggestions may be a beneficial outcome of understanding internal controls, it is not a primary audit reason compared to the others listed.

Which of the Following Is the Least Important Audit Reason