2 4 pts A client uses a service organization to process its payroll. Which of the following statements is correct regarding the auditor's use of the service auditor's report on internal controls placed in operation? 1. The client's auditor can use the service auditor's report without inquiring about the service auditor's reputation. 2. The client's auditor can use the service auditor's report as audit evidence for the client's internal controls. 3. The service auditor's report should be referred to in the report of the client's auditor. 4. The client's auditor can use the service auditor's report to jointly determine the materiality level. 1 2 4