Choice "c" is correct.

Making
constructive suggestions to the
client is not a primary
objective for obtaining an
understanding of internal
control, although it may be a
desirable by-product of an
audit engagement.

Choices "a", "b", and "d" are

incorrect, as the following are
primary internal control
planning objectives of an
auditor in a financial
statement audit
 The au
di
concen tor should
trate on
substa the
nc
rather e of controls
th
becaus an their form
e cont
establ rols m ,
ished ay be
upon. but no
Fo t acted
manag r example,
ement
establ m
ish a fo ay
conduc rmal co
t de of
manne but act in a
r
violatio that condon
ns of th es
at code
.

After obtaining the

understanding of internal
control and assessing
The auditor should obtain sufficient knowledge control risk, the auditor
of the information system
relevant to financial reporting to understand (1) may desire to further
the classes of significant transactions; (2) the
procedures, both automated and manual, by reduce the assessed level of
which transactions are initiated, recorded,
processed,
control risk for certain
and reported from their incurrence to their assertions. In such cases,
inclusion in the statements; (3) the related
accounting - the auditor considers
records (whether electronic or manual)
supporting information, and specific accounts whether additional
involved; (4)
how the information system captures other
evidential matter sufficient
significant events and conditions; and (5) the to support a further
financial
reporting process used to prepare the entity's reduction is likely to be
financial statements, including significant
accounting available, and whether it
estimates and disclosures would be efficient to
perform tests of controls to
obtain that evidential
matter -
Regardless of the assessed level of
control risk, an auditor would perform
some level of substantive tests to restrict
detection risk for significant transaction
classes. Even with the lowest possible
assessed level of control risk, substantive
testing cannot be entirely eliminated for
significant transaction classes or
balances
During an audit, the auditor may become aware
of matters related to internal control that may
be of interest to management and those charged
with governance. Those matters meeting the
definition of significant deficiencies or material
weaknesses in internal control should be
communicated in writing. Other deficiencies
that merit attention should be communicated to
management either orally or in writing. The
auditor may make constructive suggestions to
the client for improvements in its internal
control for the benefit of management or others