Which type of control deficiency is the least severe?
|
Show What is less severe than a significant deficiency?Control deficiencies are less severe than significant deficiencies.
What are types of control deficiencies?Examples of control deficiencies include:. Lack of timeliness of cash deposits and account reconciliation.. Lack of review and reconciliation of departmental expenditures.. Lack of overdraft funds monitoring.. Lack of physical inventory.. Is material weakness or significant deficiency worse?A significant deficiency is less severe than a material weakness in that it is unlikely to have a material impact on financial statements, but it is, “important enough to merit attention by those responsible for oversight of the company's financial reporting,” according to the PCAOB.
What is a significant control deficiency?A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects the company's ability to initiate, authorize, record, process, or report external financial data reliably in accordance with generally accepted accounting principles such that there is more than a remote ...
|
