Which of the following statements regarding audit findings is true?

A. A significant deficiency is a deficiency in internal control such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected on a timely basis.

B. A material weakness is a deficiency in internal control important enough to merit attention by those charged with governance.

C. A deficiency exists when the design or operation of a control does not allow management or employees to prevent, or detect and correct misstatements on a timely basis.

D. All of the above are true.