Significant Deficiencies Are Matters That Come to an Auditor's Attention

Multiple Choice

Significant deficiencies are matters that come to an auditor's attention that should be communicated to an entity's management and those charged with governance because they represent:

A) Disclosures of information that significantly contradict the auditor's going concern assumption.
B) Material fraud or illegal acts perpetrated by high-level management.
C) Deficiencies in the design or operation of internal control that could reasonably be expected to cause a non-inconsequential misstatement in the financial statements.
D) Manipulation or falsification of accounting records or documents from which financial statements are prepared.