Internal documents are more reliable when the client's internal controls are good than when the client's internal controls are poor.

Question

Quizplus · Accepted Answer

When a client's internal controls are good, it means that their systems and processes are well-organized and reliable. This makes it more likely that their internal documents are accurate and trustworthy. On the other hand, if a client's internal controls are poor, it means that their systems and processes are disorganized and unreliable, which can result in errors, omissions, or inconsistencies in their internal documents. Therefore, in general, internal documents are more reliable when the client's internal controls are good than when the client's internal controls are poor.

Internal Documents Are More Reliable When the Client's Internal Controls