The following questions deal with specific internal control situations. Choose the best response.

a. In general, a material internal control weakness may be defined as a condition under which material errors or fraud and other irregularities would ordinarily not be detected within a timely period by

(1) an auditor during the normal obtaining of an under¬ standing of internal control and assessment of con¬ trol risk.

(2) a controller when reconciling accounts in the general ledger.

(3) employees in the normal course of performing their assigned functions.

(4) the chief financial officer when reviewing interim financial statements.

b. Which of the following statements with respect to sug¬ gested auditor communication of significant weaknesses in internal control is correct? Such communiation

(1) is required to be in writing.

(2) must include a description of all weaknesses.

(3) is the principal reason for testing and evaluating internal controls.

(4) is incidental to die auditor's understanding of inter¬ na Leontrfe1 and assessment of control risk.

c. Section 5220 recommends that the auditor who becomes aware of significant internal control weaknesses commu¬ nicate this information td the

(1) shareholders.

(2) internal auditors.

(3) audit committee.

(4) management.

(AICPA adapted)