Based on a study and evaluation completed at an interim date, the auditor concludes that no significant internal control weaknesses exist. The records and procedures would most likely be tested again at year-end if:
A. the auditor used nonstatistical sampling during interim compliance testing.
B. compliance tests were not performed by the internal audit staff during the remaining period.
C. inquiries and observations lead the auditor to believe that conditions within the internal control system have changed.
D. the internal control system provides a basis for reliance in reducing the extent of substantive procedures.
Answer: C
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A. defender. B. analyzer. C. adaptor. D. prospector. E. reactor.
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