Should management evaluate all redundant controls relating to a particular financial reporting risk?
No. When more than one control exists that individually addresses a particular risk (i.e., redundant controls), management may decide to select the control for which evidence of operating effectiveness can be obtained more efficiently. • Q: Can a company leverage strong IT General Computer Controls in the evaluation of the ICFR? A: Yes. While general IT controls ordinarily do not directly prevent or detect material misstatements in the financial statements, the proper and consistent operation of automated or IT dependent controls depends upon effective general IT controls. Moreover, when adequate general information technology controls exist, and management has determined the operation of such controls is effective, management may determine that automated controls may be more efficient to evaluate than manual controls. Considering the efficiency with which the operation of a control can be evaluated will often enhance the overall efficiency of the evaluation process. • Q: For control e
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