Question

You are auditing a mid-sized company. The CFO has unilaterally overridden internal controls to expedite year-end closing. The company has weak segregation of duties. As per SA 240, what should be your response?

A Ignore if materiality is not breached
B Document and proceed
C Communicate to management
D Assess risk of fraud and extend audit procedures
E Withdraw from engagement
Practice Next

Hey! Ask a query

🎓
Think You're Ready for RBI Grade B?
RBI Grade B 2026 Phase 1 Memory Based Paper
  • 200 Questions with Detailed Solutions
  • Section-wise Coverage (GA, English, Quant & Reasoning)