Which of the following is correct about the framework for documenting control systems?
A)Management makes its assessment on the effectiveness of internal controls using a recognized framework for documenting control systems
B)The auditor is permitted to use the same framework to assess the effectiveness of the controls as management uses
C)The COSO framework is the only acceptable framework
D)The COSO framework was developed by public accounting firms and industry experts

Question

Quizplus · Accepted Answer

Management is responsible for assessing the effectiveness of internal controls and can choose any recognized framework to document them. The auditor may use a different framework or the same framework as management, but must still conduct an independent evaluation. The COSO framework is widely used but not the only acceptable framework. The COSO framework was developed by a committee of private sector organizations, not just public accounting firms and industry experts.

Which of the Following Is Correct About the Framework for Documenting