It is performed to ascertain the validity and reliability of information; also to provide an assessment of a systems internal control.This statement refers to the ..... process of financial administration.

BUDGETING

Please wait while the activity loads.
If this activity does not load, try refreshing your browser. Also, this page requires javascript. Please visit using a browser with javascript enabled.

If loading fails, click here to try again

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]

“It is performed to ascertain the validity and reliability of information; also to provide an assessment of a system’s internal control".This statement refers to the ____ process of financial administration.

A	Budgeting
B	Planning
C	Auditing
D	Accounting

Explanation:

Detailed explanation-1: -The PCAOB makes it clear that the CEO and CFO are responsible for the internal control over financial reporting and the preparation of the statements.

Detailed explanation-2: -The auditor should form an opinion on the effectiveness of internal control over financial reporting by evaluating evidence obtained from all sources, including the auditor’s testing of controls, misstatements detected during the financial statement audit, and any identified control deficiencies.

Detailed explanation-3: -Management is responsible for establishing and maintaining an adequate system of internal control over financial reporting, including safeguarding of assets against unauthorized acquisition, use or disposition.

Detailed explanation-4: -Procedures the auditor performs to test operating effectiveness include a mix of inquiry of appropriate personnel, observation of the company’s operations, inspection of relevant documentation, and re-performance of the control.

There is 1 question to complete.

ECONOMICS (CBSE/UGC NET)

ECONOMICS

BUDGETING