How Can an Auditor Use Inquiry to Gain a Better

Multiple Choice

How can an auditor use inquiry to gain a better understanding of internal controls?

A) By interviewing key employees to gain further insight into the internal control environment.
B) By observing the safeguarding of assets by checking locked doors and safes.
C) By tracing a transaction from the boundary of the organization through to the final reporting.
D) By documenting thoroughly the internal control through the use of narratives.