Question

In a governmental financial audit, auditors are specifically required to test internal control over financial reporting ______ compliance with laws and regulations.

Answer 1

Auditors test internal control over financial reporting for compliance with laws and regulations in a governmental financial audit.

Step-by-step explanation:

In a governmental financial audit, auditors are specifically required to test internal control over financial reporting for compliance with laws and regulations.

This means that auditors evaluate the effectiveness of the organization's internal controls in ensuring that financial reports are accurate and in compliance with applicable laws and regulations. Internal controls can include policies, procedures, and systems that are designed to prevent and detect errors and fraud.

By testing internal control over financial reporting, auditors can provide assurance to stakeholders that the organization's financial statements are reliable and trustworthy.