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The Primary Purpose of Obtaining an Understanding of the Company's

Question 3

Multiple Choice

The primary purpose of obtaining an understanding of the company's internal controls in the financial statement audit is ________.


A) to help the auditors develop the audit program
B) to make suggestions to management to improve internal controls
C) to obtain direct sufficient appropriate audit evidence to afford a reasonable basis for an opinion on the financial statements
D) to determine whether the company has changed any accounting principles

Correct Answer:

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