As part of gaining an initial understanding of internal control,an auditor is required to do all of the following except:
A) Consider factors that affect the risk of material misstatement.
B) Ascertain whether internal control policies and procedures have been placed in operation.
C) Identify the types of potential misstatements that can occur.
D) Obtain knowledge about the operating effectiveness of the internal control.

Question

Quizplus · Accepted Answer

Auditors are not required to obtain knowledge about the operating effectiveness of internal controls during the initial understanding phase; this is done during the testing phase.

As Part of Gaining an Initial Understanding of Internal Control,an