You Are Performing the Audit of Internal Control for Clifton

Multiple Choice

You are performing the audit of internal control for Clifton Company. Which of the following would represent a material weakness in internal control?

A) The company's audit committee has experienced an unusual turnover of members.
B) The company's CFO was indicted for embezzling from the company.
C) Bank reconciliations are done monthly.
D) The CEO retired after twenty years of service to the company.