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H12-211_V2.2 Braindumps VCE
  • Exam Code: H12-211_V2.2
  • Exam Name: HCIA-Routing & Switching V2.2

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NEW QUESTION: 1
Which of the following statements concerning material weaknesses and significant deficiencies is correct
with respect to an audit of a nonissuer?
A. All material weaknesses are significant deficiencies.
B. An auditor need not identify and communicate material weaknesses separately from significant
deficiencies.
C. All significant deficiencies are material weaknesses.
D. An auditor should report immediately material weaknesses and significant deficiencies discovered
during an audit.
Answer: A
Explanation:
Explanation/Reference:
Explanation:
Choice "B" is correct. A material weakness in internal control is a significant deficiency that results in more
than a remote likelihood that a material misstatement in the financial statements will not be prevented or
detected.
Choice "A" is incorrect. The auditor is required to separately identify and communicate significant
deficiencies and material weaknesses.
Choice "C" is incorrect. Significant deficiencies (including material weaknesses) are generally
communicated to the appropriate parties after the audit is complete. They may, at the auditor's discretion,
be communicated during the audit, but there is no requirement for immediate communication.
Choice "D" is incorrect. A material weakness is a significant deficiency that results in more than a remote
likelihood that a material misstatement in the financial statements will not be prevented or detected. Not all
significant deficiencies will meet this description.

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