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What is the primary purpose of internal control over financial reporting?

  1. A Providing reasonable assurance about the reliability of financial reporting
  2. B Guaranteeing no errors occur
  3. C Replacing the external audit
  4. D Reducing tax liability
Answer

Providing reasonable assurance about the reliability of financial reporting

Controls provide reasonable rather than absolute assurance, since collusion and management override remain inherent limitations.

All CA MCQs

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