Question

worried about managements ability to override the internal control system, what tests would you do to eliminate your concerns

Answer 1

As an auditor I would undertake the following tests to eliminate my concerns about managements ability to override the internal control system:

-Maintaining skepticism:

Assessing fraud risk with an appropriate level of skepticism is important.

- I would solidify the audit comittee's understanding of the business .

- I would initiate brainstorming sessions with members of the audit committee to understand areas in which fraud can occur.

- I would use the code of conduct within the organization to identify the true tone at the top.

- I would encourage the fostering of a strong whistleblower's program.