What is the result if an auditor places too much reliance on an ineffective system of internal controls?

a)Auditor will perform more testing than required

b)Auditor will determine controls are ineffective

c) Auditor may provide an inappropriate audit opinion

d) Auditor will not rely on the controls and will perform substantive testing instead

What is the result if an auditor does not rely on an effective system of internal controls?

a)Auditor may provide an inappropriate audit opinion

b) Auditor will perform less testing than required

c) Auditor will rely on the controls and perform less substantive testing instead

d) Auditor will perform an inefficient audit

It is more serious to place an ______ on internal controls, as this exposes the auditor to a greater risk of an ______ audit.

a) Overreliance; inefficient

b) Under-reliance; ineffective

c) Overreliance; ineffective

d) Under-reliance; inefficient