EXPLAIN.Which of the following is not done by an auditor when obtaining an understanding of an entity's internal controls? Identify the types of potential misstatements that can occur. Consider the operating effectiveness of the internal controls. Design substantive tests. Consider factors that affect the risk of material misstatements.

Auditing: A Risk Based-Approach (MindTap Course List)
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ISBN:9781337619455
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter3: Internal Control Over Financial Reporting: Responsibilities Of Management And The External Auditor
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EXPLAIN.Which of the following is not done by an auditor when obtaining an understanding of an entity's internal controls?

  1. Identify the types of potential misstatements that can occur.
  2. Consider the operating effectiveness of the internal controls.
  3. Design substantive tests.
  4. Consider factors that affect the risk of material misstatements.
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