Which of the following statements is true regarding the use of internal control questionnaires (ICOs)?

Question

Options

• AICQs are efficient because they minimize the need for follow-up with survey respondents
• BControls with positive survey responses can be eliminated from further testing
• CAnswers to survey questions can be easily misinterpreted
• DICQs offer limited value for organizations with uniform procedures

• A
  2% (1)
• B
  2% (1)
• C
  90% (37)
• D
  5% (2)

Explanation

Internal control questionnaires (ICQs) are used to gather information about the presence and effectiveness of controls within an organization. One of the limitations of ICQs is that the answers provided by respondents can be easily misinterpreted. This misinterpretation can occur due to unclear questions, differences in understanding terminology, or respondents not fully comprehending the context of the questions. Therefore, while ICQs are useful tools for identifying control issues, they require careful interpretation and often necessitate follow-up for clarification to ensure accurate understanding and assessment of the controls.

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